If you live in India or one of the many other countries where Asian Paints is located, you might be familiar with this company. Moreover, you may also know that it has a unique business model, which allows applicants to open direct distributorships. If you have ever wondered whether this might be a good choice for you, read on to learn about this opportunity and how you can get started on the process of applying.
What Are Asian Paints?
Asian Paints is one of the oldest and most successful paint producers and distributors in India. Started in the 1940s, it today serves 65 countries throughout Asia, Africa, and Oceania.
In addition to wall and furniture paints, the company also sells lines of wallpaper, decor, and other furnishings. They have become a leader in the paint industry in Asia thanks to their unique solutions for paints of different finishes as well as waterproofing solutions, adhesives, and more. Some locations even sell rugs, fabrics, furniture sets, lighting, and bathroom and kitchen fittings.
In short, Asian Paints has become Asia’s most trusted and reputable source for high-quality home furnishings. At its heart, however, it remains a company dedicated to manufacturing beautiful interior and exterior paints.
Asian Paints serves dozens of countries and has manufacturing facilities in 16 countries throughout Asia. As the third-largest paint manufacturer in India, it is also known for its unique distribution model. Unlike many other companies that work through distributorships and sub-dealerships, Asian Paints exclusively uses a direct dealership system.
This opens unique opportunities for people who are interested in opening a dealership with Asian Paints. So, why should you consider opening a dealership and what do you need to know before you start?
Why Should You Open An Asian Paints Dealership?
Starting any kind of business — even one that is technically already established — is always a risk. So, why is opening a dealership with Asian Paints worth the gamble?
As stated above, Asian Paints has been around for a long time. The company was established in the 1940s and remains one of the most successful paints and decor manufacturers in India to this day.
Today, Asian Paints is the third-largest paint company in India and covers about 40 percent of the country’s entire paint market. As you can imagine, there is quite a lot of money flowing through. For an individual dealership, official estimates put returns at between 3 and 8 percent. Since sales for the company’s brand are high, this can become an extremely lucrative investment! The corporation also promises 40 percent of profits to the dealers, so you know that you will be bringing in money each year.
How To Get Started With An Asian Paints Distributorship
The first step to applying to open an Asian Paints distributorship is to get in touch with the territory sales officer nearest you. But there is no need to ask yourself: “Where can I find an Asian Paints authorized dealer near me?” You can get started by calling the company’s customer service number at 18002095678. From there, you will be put in contact with the territory sales officer.
The Application Process
Once you get in contact with the sales officer, you will be able to set up a meeting to discuss your finances and begin your application.
While your financial situation and business background are important, your location is also another significant factor. The company won’t want to approve you if your proposed location is too close to another Asian Paints dealership. It may be a good idea to do some research beforehand, asking, “Where are Asian Paints wholesale dealers near me?” before you begin your application.
Of course, if you live in a densely populated area, the number of local distributorships may not be as important! The sales officer will take all these factors into account and help you understand whether you are an ideal applicant for an Asian Paints dealership.
What Documentation Do You Need?
Once you have been approved to open a dealership, you will need to access and show a range of documentation.
Firstly, you’ll need to show paperwork showing the ownership of the land and building in which you will be operating. If you own the shop, you must show proof of ownership; otherwise, provide documentation of the terms of your rental agreement.
Asian Paints also requires that all of its distributors acquire business insurance. This protects both you and the company in the event of an accident or lawsuit. You must have this insurance coverage before you are approved to open the dealership.
Other paperwork you may need includes:
- Business or trade license issued by your local government authority
- A GST certificate
- Registration of your business as an LLC, sole proprietorship, or other entity
- Company Authorization
Other documentation may vary based on your location and the requirements of your state or country authorities. Your sales officer will be able to familiarise you with any additional paperwork or certificates necessary.
How Much Does It Cost To Open An Asian Paints Dealership?
As with starting any business, opening an Asian Paints dealership does have some upfront costs. This will vary depending on where you live, your local rental and licensing costs, and other local requirements.
However, it is worth noting that one of the benefits of starting a distributorship with Asian Paints is the company’s low startup costs. It is estimated that the total cost will average between 6 and 8 Indian lakhs. The company does offer several options for investing, including a budget-friendly initial opening fee of about 5 lakhs. Make sure to discuss these options with the sales officer as you discuss your contract, so you can make the best choice for your budget.
These startup costs include the cost of items such as:
- Initial stock purchase
- Shop interior (including furniture and signage)
- Computer and printer
- First month’s rent of store property
- Color-mixing machine for paints (the company offers options of automatic or semiautomatic machines at different rates and will supply these to your shop)
These costs are, of course, averages, and they will vary depending on your unique situation and location. However, all things considered, these initial costs are quite low. Since Asian Paints also offers a variety of financing options, you may find yourself paying significantly less as you get started.
How Do I Know If An Asian Paints Dealership Is Right For Me?
If you’re wondering if opening a dealership is worth it, there isn’t really an answer. A huge variety of factors will be involved (money, location, and especially past business experience).
First, do some research. Where do you live? Ask yourself: are there Asian Paints dealers near me, in my neighborhood, or in the next town over? You can even talk to other dealers and learn about their experiences.
After you’ve done your homework, dial the Asian Paints dealership contact number or email them. Once you make contact with a local representative, they’ll help you determine whether it will pay off and what is required to get started.
Setting Up A Distributorship for Asian Paints
Starting a distributorship of any kind is risky. However, there are many advantages to working with Asian Paints. Not only is it a respected company (offering plenty of brand recognition), but it’s also widespread throughout three continents. For dealers, there are the added benefits of low startup costs and a variety of options for financing — not to mention a bevy of company resources.
Here’s the bottom line: If you open it in the right place and ply your trade according to good business practices, a dealership can be quite profitable. There are a lot of unknowns, but this is also an excellent chance. Whether you have been in trade for many years or are looking for something to get your career started, this could be a great choice for making your way in the world.