It is no secret that the cosmetic industry is growing at a very fast pace. More and more people, especially women, have started to understand the importance of skincare and grooming.

The demand for premium products is growing in India as Indian consumers are moving from functional products to more advanced and specialized cosmetic products.  This has and continues to inspire entrepreneurs to start their skincare formulation brands from their homes.

More and more people are empowering themselves with the necessary skills and turning it into successful businesses.

Here are some tips for starting your own cosmetics formulations business from home.

1. Passion – Love what you do and do what you love is an old adage that holds good for anything we do, and even more so for starting a new venture. It is the fuel that helps you  keep going. Passion is the key to  creativity, persistence, and venture performance. In other words, the more passionate the entrepreneur, the more likely they are to succeed.

2. Decide what you want to sell – The most important step in starting your business is to decide on the product you want to sell. It helps to focus on a product or two to begin with. With the cosmetic industry being so saturated, creating a niche for your product will go a long way in creating a successful brand. Do some research to understand the market segment that you will be selling to.

3. Garner skills – Once you’ve zeroed in on the product, learn everything you need to, starting from procuring raw materials of excellent quality to packing, packaging and labeling of your finished product. This is very important to stay alive in this competitive world and have your customers come back to you over and over again. Returning customers are very crucial to your business, not only because they buy from you, but more so because they spread a good word about you, thus getting more customers to you.

4.Create a brand – This is a very important step in creating a connection with your target customers. Your logo, however awesome it may be, means nothing if it can’t emotionally connect with your target audience.  Each and every part of your beauty brand, from your formulation, packaging, website, marketing and visuals has to work together and create an emotional response from your target customers so that they truly engage with your brand.

5. Make a business plan – Once you have the above in place, it is vital to have a specific plan to go about implementing your ideas into reality. There is that risk of losing your way, if there isn’t any strategy to work with. Your typical business plan in this case will include the following:

1. Deciding the product.
2. Understanding the investment you will make. Having a specific budget to work with is very important.
3. Deciding your target audience.
4. Execution plan.
5. Marketing plan.

1. Planning your finances – As discussed above, budgeting is a very important aspect in any business. A little more money is required as an initial investment, which gets easier once you start making sales. You should be able to plan out all start-up costs and recurring expenses ahead of time.

2. Testing – Your product has to undergo several tests before youtube it out in the market. Best way to do that is to give samples to your friends and family and get their reviews. Test on yourself to start with. Ensure there are no allergic reactions. It is always desirable to have a practical test of the products beforehand about how your target audience will respond.

3. Marketing and promotion – This has to be done in the planning stage, while creating a business plan. Once you’re ready with your product, tried and tested, you are ready to get it out in the market. Decide on your marketing and promotions strategies.

4. Understanding the regulations – Understand state regulations about the manufacturing and labeling of cosmetic products and its guidelines concerning the sale, labeling and production.

The cosmetic industry is growing at a rapid pace. There are business opportunities all around you. Drive, determination, belief in yourself and commitment is guaranteed to make your venture successful.