14 August 2024

Is a Refill Perfume Business Promising? Here's How Much Capital You Need

Starting a refill perfume business has great potential for high profits, thanks to the strong demand for fragrances. This demand is particularly strong among urban dwellers who lead busy lives and need to stay fresh in hot and sunny environments. It's no surprise that the demand for perfumes and fragrances continues to rise.


According to Statista, revenue in Indonesia’s fragrance market is expected to reach USD 56.02 million in 2024. The market is projected to grow at an annual rate (CAGR 2024-2029) of 4.97%, resulting in an estimated market volume of USD 71.38 million by 2029.

Contrary to popular belief, starting a refill perfume business doesn’t always require a large investment. With an estimated capital in the tens of millions of rupiah, you can start your refill perfume business.


Initial Inventory Costs

Here’s a breakdown of the initial inventory costs:

  • Perfume Syringes (10 pcs): Rp 25,000
  • Permanent Perfume Syringes (2 pcs): Rp 20,000
  • Measuring Cups (10, 25, 50, 100 ml): Rp 75,000
  • Display Cabinets (3 cabinets for a 3×4 m shop): Rp 4,500,000
  • Cashier Table: Rp 500,000
  • Wall Display Racks (1×2 m, 4 pcs): Rp 6,000,000
  • Banners, Signs, Lights, Fit-Out: Rp 1,000,000

The estimated total cost for these items is Rp 12,120,000.


Initial Raw Material Costs

For the initial raw materials, you can start with approximately 150 bottles of perfume, each containing 100 ml of perfume oil. Here’s a list of the necessary materials and their estimated costs:

  • Perfume Oil (150 pcs, 100 ml each): ± Rp 13,000,000
  • Aluminum Bottles (150 pcs): Rp 1,500,000
  • Prima Absolute Solvent / Ethanol (2 liters): Rp 110,000
  • Absolute Cleaner (1 liter): Rp 20,000
  • DPG / Solvent (1 liter): Rp 57,000
  • Distilled Water (5 liters): Rp 32,500
  • Plastic Spray Bottles (20 & 40 ml, 4 dozen): Rp 120,000
  • Roll-On Bottles (6 & 10 ml, 10 dozen): Rp 150,000
  • Glass Spray Bottles (15 ml, 2 dozen): Rp 110,000
  • Glass Spray Bottles (20 ml, 2 dozen): Rp 120,000
  • Glass Spray Bottles (30 ml, 2 dozen): Rp 120,000
  • Glass Spray Bottles (35 ml, 2 dozen): Rp 120,000
  • Glass Spray Bottles (50 ml, 2 dozen): Rp 144,000
  • Glass Spray Bottles (60 ml, 2 dozen): Rp 144,000
  • Glass Spray Bottles (100 ml, 1 dozen): Rp 96,000
  • Waterproof Stickers (150 pcs): Rp 600,000

These materials bring the estimated raw material costs to ± Rp 16,313,500.

In total, your estimated initial investment for inventory and raw materials would be around Rp 28,433,500. This amount can set you up to start a promising refill perfume business with a wide range of products.

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Eco-Friendly Packaging For FMCG Business 2024? Here Are The Facts

The discourse on reintroducing plastic taxes has resurfaced and is predicted to be implemented in 2024. This simultaneously opens the potential for increased prices of fast-moving consumer goods (FMCG) products, some of which use plastic packaging.

FMCG refers to consumer products that sell quickly and are frequently purchased by consumers over a short period of time, such as personal care items (soap, shampoo, toothpaste), food and beverages (nuggets, instant noodles, bottled water), and household cleaning products (detergent, floor cleaner, dish soap).

To address this, various innovations are being pursued, including the use of more environmentally friendly FMCG packaging. According to the Ellen MacArthur Foundation report, by 2050, there could be more plastic than fish in the oceans.

As a result, the FMCG industry is moving quickly to take significant steps to ensure plastic does not pollute the earth. One approach involves conversion actors, manufacturers, and retailers actively seeking ways to create environmentally friendly products and increasingly sustainable supply chains.

By doing so, the FMCG industry helps to realize a circular economy: an economic system aimed at eliminating waste and encouraging the sustainable use of resources.

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02 August 2024
Chicken Feed Business Has Great Potential, This is the Capital

Running a business in the livestock sector is promising and a smart choice. This industry offers significant opportunities and requires relatively affordable capital, making it highly appealing. Additionally, the use of a corn husking machine simplifies the production process from raw corn materials.

The Central Statistics Agency (BPS) reports that chicken meat and egg consumption in Indonesia continues to rise each year. This indicates a growing demand for chicken as a source of animal protein. One of the primary raw materials for the chicken feed business is corn, which can also be diversified into corn rice, corn flour, corn starch, and other products. To produce quality chicken feed, several factors must be considered, including nutritional value, nutrient content, moisture content, and texture.

To start and develop a chicken feed business, initial capital is needed to purchase equipment, raw materials, and business premises. Operational capital covers production, distribution, and promotion costs, while additional capital is required for machine maintenance, product development, and other expenses.

Estimated costs for each component are as follows:

  • Equipment: IDR 10 million – IDR 20 million
  • Raw materials: IDR 5 million – IDR 10 million
  • Business premises: IDR 5 million – IDR 15 million

Operational capital:

  • Production costs: IDR 3 million – IDR 5 million per month
  • Distribution costs: IDR 2 million – IDR 4 million per month
  • Promotion costs: IDR 1 million – IDR 3 million per month

Additional capital:

  • Machine maintenance: IDR 500 thousand – IDR 1 million per month
  • Product development: IDR 1 million – IDR 2 million per month

Based on these estimates, if you plan to start a business with a production capacity of 1 ton of feed per month, the total capital required would be approximately IDR 20 million for equipment, IDR 6 million for operational capital per month, and IDR 1.5 million for additional capital per month. Thus, the total initial capital needed would be around IDR 27.5 million.