If you are planning to take franchise of any pharma franchise company then you need to follow the stepwise procedure to start your own franchise business. Concept of a pharma franchise business is a mutual working agreement between PCD Pharma Company and pharma franchise. Pharma companies provide pharma products to franchisees at the net rate and they distribute these products with proper marketing techniques to earn a marginal profit. Now we are going to discuss the stepwise procedure for starting a franchise business.
- Before Starting
Make a proper plan– In this step, you need to make a proper business plan with all the required steps like segment wise product range, targeted channel partners, marketing strategies, and all the financial and investment planning. If you are going to start PCD business on a part-time basis then also mention its future, mission, and target. Also, you need to arrange to fund for admin, management, marketing, promotional and other activities. You need to arrange funds until your pharma business starts to make a profit. It will depend on your expertise, experience, knowledge, and efforts and may take the time of 1 year for proper establishment.
Registration and License– For starting a pharma franchise business, you should need to register your company first then you should take drug license and GST number for your business. You can also use your distributor’s license number but making your own license is considered safer.
- Initial Stage:
Area selection – Choose your area from where you wish to start your franchise business. For this, you need to make a small survey of competitors, their products, pricing and people reviews. Make list of doctors and retail chemist of your area and divide them into different parts as per possibility of sale then prepare plan to approach and promote your products.
Product list– product planning is also necessary as business planning. Make list of various product range such as derma, pediatric, gynec , general or any other segment. Also, you can prepare molecules list which you want to promote.
Company Selection– First of all you need to search for various pharma franchise companies for your location. You can find them on various search engines, magazines, pharma newspapers, drug book, and other advertisement media. Make a list of around 5-6 PCD Companies and inquire them with their product list and pricing. Compare their net rates, product list, molecules, marketing and promotional support and other terms conditions then choose PCD Pharma Company which is suitable as per your requirement and need.
- After Selection:
After selection of suitable pharma Franchise Company, you need to follow some important steps
Terms & Conditions: Prepare terms and conditions based on mutual understanding between you and Pharma Company. They must be in written because written documents are helpful from any future dispute. Clearly mention all the terms including promotional and sales support, sampling, product supply, target market, payment terms, and other conditions. Monopoly marketing is foundation stone of any PCD business. With area wise monopoly right agreement, no other distributor can sell the same pharma product in your area. So make area wise monopoly agreement with a pharma company. If you have any doubt then openly clarify it before finalizing.
Final Order: After successful clearing all the above steps, now you can place final order as per your requirement and conditions. PCD Pharma Company sends proforma of products and payable amount. You can do payment as per your agreed terms.