6.3 / 10
 Ballari

Seeking Business Loan: Company dealing in industrial gases now wants to venture into manufacturing them.

Key Business Facts
Yearly Sales USD 22 thousand
EBIDTA Margin 25 %
Industries Industrial Gas
Locations  Ballari
Business Overview
- Company supplies industrial gasses to our clients in cylinders as per their purchase orders.
- Our company owns multiple gas cylinders. These cylinders are filled with industrial gasses through our network of 5 to 7 industrial gas manufacturing companies at extremely nominal costs.
- These cylinders are then supplied to about 15 to 20 clients who are essentially sub-contractors of JSW. These clients use these industrial gasses for fabrication & manufacturing works.
- Once the cylinders run out, the clients give us the cylinders back and we prove them with a fully filled cylinder in exchange. This is the only source of revenue for our company.
- However, with the proceeds from this business loan, we will be setting up a manufacturing unit to produce these industrial gases at our in-house facility.
- These gasses will be sold to our existing clientele. This will allow us to increase our revenue, reduce costs, and capture a wider market.
- Our company already possesses clientele to whom we supply industrial gasses. Hence, once we commence manufacturing, our company will be selling the gasses directly to existing clients. This will ensure return on investment at the very onset of operations.
- This reduces the risk substantially which makes our company extremely valuable. The valuation is based on our own estimate.
- Our business is entirely debt-free with no outstanding business loans, overdue, or defaults.
- The company has one owner who has 100 percent ownership of the entire business. There are no outside investors or shareholders.
Products & Services Overview
Our company supplies industrial gasses in cylinders to our clients. These gasses include:
- Nitrogen gas.
- Oxygen gas.
- Carbon dioxide gas.
Assets Overview
Physical assets include: - Company-owned cylinders stored in the warehouse & cylinders currently with the clients. - Interior fittings & furnishings of the two facilities. - Company-owned vehicle.
Seeking Loan
USD 600 thousand for 10.0% annual interest, 6 years (Native Currency: INR 50,000,000)
Reason: The proceeds from the business loan will be used for: - Setting up a full fledged manufacturing uni... View More
Collateral Available: USD 0
Includes physical assets worth USD 18 thousand
Interested to connect with advisors
In talks with 3 Investors
Contact Business