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  • Category: Career Guidance

    Cement and TMT bars dealership business


    Are you wanting to open a dealership in cement and TMT bars business? Looking out for detailed procedure and criteria for initiating this business? Here, on this page our experts shall help you to proceed.

    I want to obtain dealership for Bangur cement and dealership for TMT bars. What criteria needs to be fulfilled to obtain dealership and whom should I contact?
    I am from Odisha. Can I can earn more profit by becoming a dealer or purchasing from supplier?
    I want full guidance as I know nothing about cement and TMT bar business.
  • Answers

    4 Answers found.
  • The dealership business in Cement and TMT bars is a good idea. The construction activity will be going on always and the materials for construction are always required. If you have good contacts with good builders and if you can get the orders from them, you will have good business and good profits. How much you are going to invest and what is the market capacity you are aiming are the issues which decide about the margins and profits. You require sufficient storage place for these materials to be a good dealer.
    You have to contact the regional office or branch office.No prior experience in the line is required and a new person to business can also apply. Security deposit will depend on your capacity of business and infrastructure. You will get around 7% interest on your security deposit. There will be an application form. You have to fill it up and submit. The company will send an executive to discuss with you and assess your capabilities. He will submit his recommendations to the company.
    Basic requirements are that you must be financially strong with a good market talent. There is no minimum storage area required for this company...
    The commission for the dealer will be varying from time to time and it will be minimum Rs.10/- a bag. Some incentives also they may offer based on your sales.

    drrao
    always confident

  • Sir,
    i will get only commission from from company no profit from sale.What in case of tmt bars.

  • Due to construction activity going on everywhere in our country the scope of the cement and TMT bars is quite good. You can apply for dealership and enjoy a steady commission on your sales. You can also buy directly from the supplier but margins will be different.

    Bangur cement, UltraTech Cement, Bharathi Cement etc are some good brands and you can try to apply to them for dealership.

    For TMT bars there are many manufacturers and brands available in the market like TATA Tiscon, PAVAI TMT, AMMAN-TRY, Kiscol TMT, iSteel, ASRM-TRY etc and you can purchase them from the big suppliers also.

    You have to create storage and to and fro movement facility for these items and some initial investment will be required for making the yards and warehouses for storage of the same. You will also require some supporting staff for maintenance and security of the place as well as some office workers for maintaining the documents etc related to sales and invoicing and tax issues.

    This type of business requires a lot of networking and marketing expertise. Gradually that comes with the experience and remember that hard work is the key to the doors of success.

    Knowledge is power.

  • If you have initial finance for setting up a retail or dealership outlet in your area then the business related to the construction material is a good choice as this is one area where continuous activity is there due to new projects coming up so fast.

    One can take bank lone also for setting up such business but then one has to factor his profit in terms of repayment of bank loan which is generally a high installment and this exercise has to be carried out whether it will be an advisable proposition.

    You have to choose an area where there are no dealers or few retailers otherwise the competition will be tougher for you.

    Try to get the dealership of good brands as already mentioned in the answers above because people mostly go by the brand popular in the market.

    Please also note that as margins are shrinking in the market, what matters in business is volume so you have to focus on increasing of your sales.

    Thoughts exchanged is knowledge gained.


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