Scented Candles are made with fragrant oils mixed into the wax, gives off a pleasant aroma when burning. A Scented Candle is a nice touch in a bathroom, especially when guests are over, in a bedroom, or any room of the house.
A scented candle can create an ambiance of healthfulness and well-being. Unlike incense, scented candles do not add smoke to the air.
The business idea aims at production of 1300 wax candles per month which translates into 15,600 wax candles per year.
The revenue potential is estimated at NGN 1,300,000 per month, translating into NGN 15,600,000 per year. The total investment capital for this project is NGN 115,000.
Technology and Process Description:
The equipments used are simple and can be fabricated locally. The process involves wax and satiric acid which are melted in a mild steel mould.
The wick is inserted in the yet to be solidified candle and the molten mass is poured in the cylindrical mould and it is cooled by water and poured on the floor. When completely dry, the wick threads are trimmed and then packed.
Scale of Investment, Capital Investment requirements and equipment:
The scale of investment depends on the market available, but most especially the manufacturer produces on orders.
Capital Investment Requirements (CBN Exchange rate – $1 to NGN 410 as of 28th of May, 2021)
| Capital Item | Qty | Price Per One NGN | Amount (NGN) | Amount (USD) |
| Candle Moulds | 1 | 100,000 | 100,000 | 243.9 |
| Charcoal Stove | 1 | 15,000 | 15,000 | 36.6 |
| Total Cost | 115,000 | 280.5 |
Production and Operation Costs
Direct Materials, Supplies and Costs
| Cost Item | Unit Cost NGN | Qty/ Day | Pdn Cost/Day NGN | Pdn Cost/Mth NGN | Pdn Cost/Year NGN | Pdn Cost/Year USD |
| Direct Costs: | ||||||
| Wax (25KG) | 25,000 | 1/2 | 12,500 | 325,000 | 3,900,000 | 9,512 |
| Stearic Acid (25KG) | 30,000 | 1/4 | 7,500 | 195,000 | 2,340,000 | 5,707 |
| Candle Wick (100 Pcs) | 1500 | 1 | 1500 | 39,000 | 468,000 | 1,141.5 |
| Sub-Total | 559,000 | 6,708,000 | 16,361 | |||
General costs (Overheads)
| Cost Per Month NGN | Cost PerYear NGN | Cost PerYear USD | |
| Utilities | 2,000 | 24,000 | 58.5 |
| Sub-Total | 559,000 | 6,708,000 | 16,361 |
| Total Operating Costs | 561,000 | 6,732,000 | 16,420 |
Project Product Costs and Price Structure
| Item | Qty/Day | Qty/Yr | Unit Price | TR/YR NGN | Total Revenue(USD) |
| Scented Candle | 50 | 15,600 | 1,000 | 15,600,000 | 38,049 |
Profitability Analysis Table
| Profitability Item | Revenue Per Year NGN | Per Year
Revenue Per Year USD |
| Revenue | 15,600,000 | 38,049 |
| Less Prod & Operating Cost | 6,732,000 | 16,420 |
| Profit | 8,868,000 | 21,629 |
Market Analysis
The market for scented candles is available throughout the year.
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