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How to Start a Candle Making Business in India?

calendar10 Oct, 2022
timeReading Time: 4 Minutes
Candle Making Business

The Candles are used in many ways or occasions, some for worship, decoration, and festivals. We can decorate the house with candles and go for a candlelight dinner. It is a small investment business plan that you can start from home. If you are creative, have a hobby of making candles, or like to make different kinds of decorative candles, then this is the right business for you. In addition to traditional candles, people frequently choose decorative items. The potential market for scented and decorative candles in India is enormous. For making candles, certain materials are required, including waxes, candle wicks, dyes, production equipment, moulds, boilers, stearic acid, and packaging. In this blog will discuss How to Start a Candle Making Business in India.

Is Candle Making Business Profitable in India?

In India, the candle making business is profitable. One of the most well-liked businesses for a new entrepreneur is this one. There are a few reasons why you should start a candle-making business. The first is that the start-up costs are low. Second, starting a business only requires wax and wick because the manufacturing process is so straightforward. Candles are in demand all year long, and this industry has the potential to expand every year.

Different Licenses & Registrations for Candle Making Business in India

The license required to run candle making business is:

  • GST Registration
  • Company Registration
  • Trade License
  • NOC by State Pollution Control Board
  • MSME Registration

Requirements for Starting Candle Making Business in India

  • Investment Required: The investment required to set up a candle business is between Rs. 5 lakhs to Rs. 10 lakhs.
  • Area Required: The area needed to set up candle making business is 500sq ft. – 1000 sq ft.
  • Manpower Required: The manpower needed to run a candle-making business is as follows:
  1. 1-skilled worker
  2. 2-skilled workers

Additionally, ample training in terms of the following need to be provided with

  1. Machine handling
  2. Equipment usage
  3. Safety and precautions
  • Machinery Required:  The machinery needed to set up a candle making business is:
  1. Wax heating machine
  2. Mixer/grinder
  3. Candle thread-cutting machine
  4. Moulding machine
  5. Semi-automatic candle-making machine
  6. Manual candle-making machine
  7. Fully automatic candle-making machine
  • Raw Materials Required: The raw materials required to set up this business are:
  1. Wax: paraffin, gel, ay, beeswax
  2. Tins, jars etc.
  3. Wicks
  4. Essential oils for fragrance
  5. Packaging supplies
  6. Colouring agents
  7. Labels

Business Plan for Candle Making in India (Step-by-Step)

Step 1: Do market research: Doing excellent market research is essential to begin a candle-making business plan. Well-detailed market statistics research helps immensely in knowing the target audience and their requirements.

Step 2: Getting knowledge of Making Candles: Many people themselves hold the expertise to create candles, whereas others wish to hire craftsmen or experts to make different types of candles.

Step 3: Creating a Business Plan of Candle Making: Create a full-fledged business plan of candle-making to help people know where their expertise lies. There should be a proper name of the business and a description of the services. This fetches more buyers & sellers to buy their services.

  • Business Name: A name of a business should be catchy and describe the business and product.
  • Explain your Product & Services: While creating a business plan defining the products & services is essential, so buyers get clarity and opt for more.

Step 4: Funding – Investment required to start a Business of Candle Making: Funding is one of the prime essential things to starting this business. A good amount of money is required to start the venture. Proper funding/investment help in growing business and reaching new levels. Also, if you have a low budget, you can start a candle-making business from home and purchase small candle-making equipment, then increase your production later.

Step 5: Paper Work: Make sure you do everything legit. For starting a this business in India, proper paperwork should be required, like legal trade license, business registrations, and GST registration. This provides authenticity.

Step 6: Raw Materials for Candle Making: The material required for candle making should be good quality. The quantity of the raw material helps in creating more candles. Always be sure to source the raw material from authentic & greatly qualitative candle suppliers. The required raw materials for candle making are mentioned above.

Step 7: Machinery needed for Candle Making: To start this business, the required machinery makes a huge difference. Proper machinery would execute finely made material. All the required machinery is mentioned above.

Step 8: Evaluating Profit Margins for Candle Making Business: From time to time, evaluate the profits you are making with your business (cancel manufacturing). Profit margins should be high, so the business can be at a pace of good growth. You can start this business with less amount of investment. As the demand for aromatic scented candles is continuously growing and the cost of raw materials & equipment required is also tiny, you can now calculate the profitability/profit margins in this business (it’s pretty high).

Step 9: Marketing & Selling this Business: In a business plan, marketing & selling strategies play a key function in setting your business in the market. In addition, marketing strategies should attract target customers to fetch more leads.

  • Target Consumers: The business should be made to reach the target customers directly. The customers would be interested in the products only to satisfy their requirements. The target markets to whom you can sell candles are places like mosques, churches, antique stores, temples, hotels, and direct consumers (D2C[1]) who want to scent their homes with candles.
  • Online Marketing: These days, the digital marketing of candles is becoming a boom. Website, Social Media, Email, and Digital promotions are required to advertise your product and brand amongst larger customers online.
  • Offline Marketing: Don’t forget to make the most of offline marketing platforms like flyers, pamphlets, and billboards which would be helpful in advertising the goods to a different set of customers.

Step 10: Safety Guidelines for Candle Making Business: Some important guidelines should be considered while doing this business. Never melt wax if it doesn’t have some form of temperature control, as it may burst into flames without warning. The wax flashpoint should vary between 290-380 degrees Celsius. Always undertake precautionary when you make candles.


Finally, starting small business with less investment is always advised to start with less manpower. It would be best if you shouldered as much responsibility as possible. As you grow your candle making business and profits start rolling in, think of adding a quality workforce.

Read our Article:How to Start an LED Bulb Manufacturing Business?

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