Opening a PCD pharmaceutical company in India can be a lucrative and rewarding business venture. The pharma industry is flourishing at this time. Thus, many manufacturers have entered this industry with an aim to provide affordable products with top-notch quality. There are many segments in this industry, such as Gynecology, Dermatology, Ophthalmology, and many more. By choosing a suitable segment for your business, you can easily achieve heights.
However, there is a significant investment cost. The expenses involved in setting up the business vary depending on the scale of operations, business model, and location. Here are a few things that you can consider while starting a PCD pharma business, such as:
Company Registration and Legal Formalities
Before starting any business, it is essential to complete your company’s legal information. In India, a PCD pharma business must be registered as a Private Limited Company, Limited Liability Partnership (LLP), or a Partnership firm. This process also helps in ensuring transparency while partnering with any company for achieving similar goals.
Expenses Involved:
- Company Registration Fees: Registration costs can range between ₹7,000 and ₹15,000, depending on the type of registration and professional fees.
- Trademark and Brand Protection: For the Meditreat brand, you will need to register your trademark. The cost for this is typically ₹4,500 to ₹10,000.
- GST Registration: A GST registration is mandatory, costing approximately ₹2,000 to ₹5,000.
Infrastructure Setup and Office Costs
A dedicated space is essential for a pharmaceutical business to operate efficiently. While the scale of the setup can be small initially, ensuring that the facility meets industry standards is crucial. PCD pharma companies can even start their business at their comfort place as entioned in the company’s agreement.
Expenses Involved:
- Office Space Rental: You can even rent a space for starting your PCD pharma company, and the cost of it depends on the location. But, it can range somewhere between ₹30,000 to ₹1,00,000 per month.
- Warehousing Costs: The pharma business requires space for storing medicines. Warehouse rent in India varies depending on the location, but could cost ₹50,000 to ₹2,00,000 per month for a 1,000 to 3,000 sq. ft area.
Pharmaceutical License and Certification
In India, a PCD pharma company must comply with strict regulatory norms set by the Drug Control Department. Obtaining the necessary licenses and certifications is crucial to ensure legal operations. Also, certain licenses and certifications help in attaining the trust of customers as they know that the products are manufactured adhering to the world-class standards.
Expenses Involved:
- Drug License (Wholesale and Retail): The cost of obtaining a drug license from the Drug Control Authority is typically between ₹10,000 and ₹30,000.
- GST License: A separate GST license is mandatory for pharma businesses, which costs around ₹2,000 to ₹5,000.
- ISO Certification: To enhance the credibility of the company, you should get an ISO certification. The cost can range from ₹30,000 to ₹80,000, depending on various other factors.
Inventory and Sourcing of Medicines
The primary expense for a PCD pharma company is the sourcing of pharmaceutical products. You can either set up your own manufacturing unit or source the drugs from a third-party manufacturing company. Sourcing from third-party manufacturing companies helps you with various things such as finding right raw materials, testing of products and inventory cost.
Expenses Involved:
- Inventory Purchase: The cost of purchasing pharmaceutical products will depend on the quantity and the type of drug you want to sell.. A basic inventory may cost anywhere between ₹5,00,000 to ₹10,00,000.
- Packaging and Labeling: Proper packaging and labeling are required to meet regulatory standards and brand image. The cost for packaging per product can range between ₹2 to ₹5 per unit.
- Storage and Logistics: Warehousing, storage, and transportation costs for distributing medicines to clients will cost around ₹50,000 to ₹2,00,000.
Marketing and Branding Expenses
To build the brand name of the company, there is a need for high marketing and branding. As the pharmaceutical industry is currently rising , you can easily promote your products. Also, by building your network among doctors and nurses from various hospitals , you can brand your products.
Expenses Involved:
- Branding and Logo Design: Professional branding and logo design for your company could cost between ₹10,000 and ₹50,000.
- Digital Marketing: A basic digital marketing campaign, including a website, social media ads, SEO, and Google Ads, could cost between ₹20,000 and ₹50,000 monthly.
Laboratory and Research & Development (R&D) Costs
While there are many options to save the R&D cost by associating with a company that offers third-party manufacturing. But, if you want to make your own formulations, then you should consider the cost for lab setup and R&D.
Expenses Involved:
- Lab Setup: Establishing a small lab could cost around ₹5,00,000 to ₹20,00,000, depending on the scale.
- Research & Development: Continuous R&D for developing new products could cost ₹1,00,000 to ₹5,00,000 annually.
Conclusion
Opening a PCD pharma company under the Meditreat brand in India involves multiple types of expenses, ranging from legal registration to inventory procurement and marketing. The initial investment can range between 15,00,000 to 60,00,000. With proper planning and guidance, you can easily build a profitable business in no time. For further details, you can contact us at:meditreatdrkp@gmail.com || +91 98168-57058.
