How to start PCD pharma company in India

How to start PCD pharma company in India:

The scope of how to start a PCD pharma company in India is huge as the industry is a hub of scopes and opportunities for those hunting for new avenues for investments, so investing in the pharma industry can be a profitable venture. Legal formalities must be taken up along with the investment.

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Here are some tips on how to start a PCD pharma company in India

• Develop your business plan

A business plan is a blueprint that will guide your business from the very initial stage through incorporation and eventual business growth. It is a must for all new projects. The type of your business plan to start a PCD pharma company in India depends on your financing requirements. If you want to seek financial assistance from banks or financial institutions, then go with the traditional business plan, a simple one-page business plan will suffice for you.

• Funds Planning

A company cannot be established without financing. So, knowing the estimated cost of incorporation and the source of funding for your business is very important.

1. Collect all expenses that you may need to incur in a spreadsheet (including the cost of buying or renting real estate, licenses and permits, equipment and machinery, infrastructure and premise building, market research, inventory, trademarks, and insurance). Also add to it the working capital that you would need to run the business for at least one year (e.g. marketing and advertising, employee salaries, travel expenses, etc.). Adding all of these expenses will result in you arriving at the required initial investment figure.

2. The next step is to find ways to finance your business, it could be your own equity or debts from banks or financial institutions.

• Business Structure

In case there are more than two partners and less than 50 partners, the company can be registered under a private limited company or a limited liability company and for a sole proprietor, one can choose a one-person company.

• Selecting a good business name

The brand name plays a vital role in all aspects and is a silent ambassador for your company. Select the brand names of all the products and make sure that they are not like any other brand already on the market

• Documentation, licensing and certifications

Starting a pharmaceutical company in India needs licenses and approvals from various different bodies. Most of them are a one-time investment and may last a lifetime, while some may require renewal after a certain period of time.

1. Drug License Number: A drug license number is necessary for every company to start distributing or marketing in India.

2. Company registration: In case there are more than two partners and less than 50 partners, the company can be registered under a private limited company or a limited liability company and for a single owner, one can choose a one-person company.

3. Food Safety and Standards Authority of India (FSSAI): Annual registration is required.

4. Trademark: Trademark registration is necessary to protect an individual's intellectual property. Trademark registration can be obtained for a trade name, brand name, logo, slogan, caption, etc.

5. GSTIN: Pharmaceuticals and medical supplies are taxed in India at four separate rates of Nil, 5%, 12% and 18%.

• Preparing your business site

Including your office and storage warehouse. Make sure that all the buildings you choose must have enough space and be constructed in accordance with the government norms.

• Selection and development of Product

One can start a pharmaceutical company by manufacturing one, two or three products. One does not need to go with a large product list. Product selection is a very important prospect. Do a proper research and make a list of all the molecules and formulations that you would like to put on the market. Understand the needs of the market and find the molecules that are currently working and the newest ones that are creating good demand in the market.

• Termination of third party manufacturers

Send a quote for minimum batch size and minimum possible prices to as many 3rd party manufacturers as possible (it helps you to crack the best deal). Choose the best factory that can guarantee you high-quality and timely services. Third party or contract manufacturers, they make products for you in their factories and take the hassle out of running an entire manufacturing unit.

• Place your order with specified manufacturers

And be sure to submit an affidavit (specifying that the product brand name belongs to you and you will be fully responsible for any brand name or brand conflict and the manufacturer will not be liable for any future brand name or brand name conflict). Manufacturers also require a scanned copy of the drug's license number and GST number.

• Make agreements / contract with them

Determining the agreed terms and conditions and other details about the transaction.

• Buid a team

Make sure to hire experienced people. Recruit only registered pharmacists and carefully choose whole sellers or superior distribution companies that will advance your product in the market in the best way. You will also need MR to visit doctors and promote your products.

• Promotion and Marketing

Promotion and Marketing of products and brand name can really change the selling game and make the company huge profits.

1. Design a good logo for your brand and choose it wisely as the logo silently says a lot about the brand.

2. Packaging and labeling not only helps in protecting and storing a product, but also helps in developing the image of a brand in the market.

3. Prepare products cards, visual ads, and, promotional materials.

4. Create a good website and run ads on the internet.


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