Cane furniture manufacturing is made as per customer’s standards and specifications. Quality depends on the cost, design and material used in the construct. This business is highly lucrative because of the huge local and international market for cane products.
The material is perfect for interior decoration, office and domestic applications. An entrepreneur interested in business needs to focus on specific aspects like sofas, chairs, center tables. Another income earn is the provision of repair service.
Why start cane furniture manufacturing business
There are many reasons why cane furniture manufacturing is attractive. Reasons include easy accessibility to local raw materials, basic tools, and low startup. The furniture are attracted have huge market is easy to sell. The product is durable, recyclable and very attractive.
- local raw materials
- basic tools
- low startup
- huge market
- easy to sell
- product is durable
- attractive products
Uses of cane
Cane has been in used for centuries to make useful items like baskets, hats, walking sticks. It is used in building construction because of has good elasticity, tough and durability. In recent times cane is made into different types of furniture for home or office.
- Building Material
- Walking Stick
- Umbrella handles
- Furniture frames
Types of cane furniture
There are different types of cane furniture in the market. Common ones are chair, sofas, center tables, stools, cane beds, cupboards, and dressers.
- Easy chairs
- Center tables
- Cane beds
- Dressing tables
- Dining tables
- Rocking chairs
- Book shelves
- Shoe racks
- Glass frames
Land and manufacturing process
Lease or purchase a land at least 1800 sq. meters for the plant. Make sure the site has adequate power supply, good road network, loading area. Build a storefront to display the products with warehouse at the back. Manufacturing process depends on craftsman design and product. Material used in the construct are cane sticks, wire, nails, hammer, tar, favicon and polish.
In order to acquire funding present a business plan to a financial institution. Approach a trade or commercial bank and provide the business plan, collateral, part of the amount and guarantors. Collateral is usually fix assets like landed property of house. Secure long term low interest loans however most banks interest rate is about 12% p.a.
Non-recurrent expenditure is found in the fixed capital aspect of the business. They are cost of plant, machinery, office furniture, fixtures, land and development. Recurrent expenditure are workers’ salaries, raw materials, factory maintenance and interest on bank loans.
Monthly expenses are insurance, rent, tax, travel, transportation. More are electricity, utilities, administrative expenses, office. Therefore an entrepreneur should estimate the total capital investment as working capital for 3 months and fixed capital.
Working capital and Cost of production
Total working capital for each month covers salary, other charges and raw material consumption. Cost of production of cane furniture is the total recurring expenditure and depreciation on furniture. Others include depreciation on plant and machinery including interest on total working capital.
Let’s assume the business is focused on three aspects sale of center tables, cane sofa and repair of can furniture. The turnover each year is based on the number of center tables or sofas sold including repair charges.
Cane is the main raw material used in the production process. Other materials are Assam Galla cane stick, cane tar, Assam cane stick, glass and sundi cane. More raw materials are sprit, gala, sand paper, assorted nails, polishing materials.
- Assam Galla cane stick
- Cane tar
- Cane stick,
- Sundi cane
- Sand paper
- Assorted nails
- Polishing materials
Market Channels for raw materials
There are three channels for Cain material, government forests, private sources and importers. Government channels start from forests then auction purchasers to wholesalers then Cain based enterprise. Private sources sell to local collectors or regional collector who in turn sell to wholesalers then Cain based enterprise. Importers sell directly to wholesalers who sell to Cain based enterprise.
Machinery and Equipment
Plant machinery depends on the size of the enterprise and type of product. Common tool are hammer, wooden commando, small knife, cane cutter. Others are hand saw, blow lamp, big knife, hack saw frame, pliers, cane cutter, nose pliers, measuring tape. The workshop or office require tables, worktable, chairs and storage rack.
There are a whole array of products for Cain manufacturers. Products are dressing tables, divan, shelves and tea tables. More are rocking chairs, chairs, dining tables, sofa set and bed. Sell the products to hotels, lounges, schools, private homes, offices.