How to Start Leather Belt Making Business In India Cost, Profit, Business Plan, Requirements | SkillsAndTech

How to Start Leather Belt Making Business In India Cost, Profit, Business Plan, Requirements | SkillsAndTech

Recently, the market has seen a rise in the demand for most of the leather products that are out there. Leather Belt making business has been a very convenient venture for many businesses due to the easy availability of the raw materials and also because of the increase in export of leather-related items in the market. That being said, a major demand has increased because of the sense of fashion more inclined towards leather and its designs.

If we talk about all the stats that concern Leather products, then the leather industry alone, itself accounts for a turnover or a value of an astonishing number of 13 billion dollars, there is also an estimation from valid sources that the same industry is expected to grow further in the coming years, to be more precise, the leather industry is estimated to reach around 25 Billion Dollars by the year 2027.

As we already talked about the demand for leather-related products in the market, this explains the scope this business holds and a market that can be further explored with quality and brand. In fact, there are various government initiatives for promoting and encouraging business owners to indulge in Leather units and businesses. The Central Government has launched the Indian Leather Belt Making Business Development Programme, more commonly known as ILDP to promote the same.

If we move further and talk about the international markets, Indian Leather Belts have a huge demand in various countries. Some of these countries where Leather Belts and related items are exported are Germany, Denmark, the USA, China, UK, UAE, Hong Kong, and many more. Thanks to the easy availability of raw materials, India is leading in exports for this industry.

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License Required for Leather Belt Making Business

Registration of Firm:

You may start the small to medium Business either a Proprietorship or Partnership Firm.

If you are starting this Business as One Person Company, then you have to register your firm as a proprietorship.

For Partnership operation, you have to register as a limited liability partnership (LLP) or Pvt. Ltd. Company with
Registrar of Companies (ROC).

GST Registration:

it is mandatory to get the GST number to run the business; you need to apply for the GST registration.

Trade License:

obtain trade license from local authorities

MSME/SSI Registration:

this MSME/SSI Registration will help you to get schemes and facility for the business offers by the state government

BIS certification:

BIS has mentioned the specific quality standard for Business. ISI specification for the

Trade Mark:

you can secure your brand with trademark registration

IEC code: 

IEC code is essential for the export of the product

Pollution Certificate:

apply for pollution certificate this business produces an offensive odour.


state insurance which is an insurance scheme for workers.

ESI Registration:

Employees provident fund is compulsory for the business where more than 20 employees are working.

To comply with the above processes and registration, one might need any legal expert who would help in absolute legal compliance to meet industrial standards. 

Raw Materials Required for Leather Belt making Business.

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In the above points, we already talked about how easy it is to acquire the necessary raw materials for making leather belts, the required materials are as follows.

  • Leather
  • Cloth
  • Split Leather
  • Chrome Stand Upper Leather
  • Hand Tools
  • Decorative
  • Threads
  • Handling tools
  • Miscellaneous materials

Equipment Required for Leather Belt Making Business

Unlike other Leather-related products that require a lot of machinery for production and post-processes, the equipment and machinery required for Leather Belt are less as compared to the others. The Equipment required for the same is as follows.

  • Strap Cutting Machine
  • Cutting Machine
  • Scissors
  • Packaging Materials
  • Skiving Machinery
  • Side Creasing Machine
  • General Tools
  • Miscellaneous Equipment

Investment required For Leather Belt Making Business

The initial machines that are required for carrying out the process of Leather Belt manufacturing would consume most of your investment. The necessary manpower, marketing funds, and the rest of it would consume the other. An estimate of the investment is as follows.

Small Scale 4 to 10 lakhs
Medium Scale 10 to 20 lakhs

Expected Profits that can be Made from Leather Belt Making business

An average amount of Profit that can be earned by individuals engaged in Leather Belt Making business would go between 40,000 to 1 lakh, this estimate is for businesses that are dealing on a smaller-scale. However, if the business succeeds to generate a good demand in the market for their brand, then the expected profits can be higher.

Manpower Required for Leather Belt Making Business

Even a small-scale based Leather Belt making Business would require of you to hire some of the employees or workers. The processes related to the manufacturing of Leather Belt are simple, yet it requires manpower for completing the same at a quicker pace and for gaining quality product.

  1. For a business that plans to carry its operation on a small-scale, you should hire at least 2 skilled workers and perhaps a manager. You can also substitute skilled workers with unskilled workers, this would help you to avoid a few of your costs.
  2. For a medium or a large-scale Belt Making Business you would require more than 3 skilled workers and a manager. Here, once again, skilled workers can be replaced by unskilled workers, but the only issue is that you would have to train them well and make them accustomed to the line or pattern of work done.

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Target Consumers

  1. Gift shops: This is one of the favourable spots where your leather-made products, or to be more precise, leather-made belts would sell quickly and at a good pace. People usually make a purchase of these products as a gift from various gift shops. Once you have acquainted with gift shop owners, they can be your regular customer.
  2. Stores in Malls: There are some small or major stores in malls, that store such leather products with a distinguished and unique design in their stores. The sales that you make in these stores would not be quite frequent, but the profit percentage would be high. However, you would have to develop some brand value to have your leather products displayed here.
  3. Exhibitions: There are many exhibitions where people display their new brand and especially if the product is based on Leather. You can display your leather-made Belt at these exhibitions. Exhibitions are a really great place to start off for a new brand, you can showcase your wide range of leather belts at these exhibitions and make the initial sales.
  4. Fashion Stores: Lastly, another one of your major targets should be the local or the regional Fashion stores. They would promote and sell your product in their stores for a good commission rate. You just have to create an impression and build confidence in your product in their minds.

Profit Margin

In the Leather Belt Manufacturing business, depending on the type of machinery and the level at which you are manufacturing and selling, the profit margin would differ. You can easily expect to earn a profit margin or percentage that lies in the range of 20% to 30%. The numbers may vary, depending on the demand.

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