A 3 lakh bank loan, and 30 lakh taka of shoes a month
From a shop job paying 20 taka to a factory built on a 3 lakh taka bank loan: 40 workers, 300-350 pairs a day, 30 lakh taka of sales a month and 3 lakh taka of income.
This man from Eklashpur union in Begumganj, Noakhali, lost his father in 2006, left school at 14 and took a job in a Chowmuhani shoe shop for 20 taka, when the bus fare alone was 10 taka each way. Six months later he borrowed money and began bringing shoes from Dhaka to resell locally, but the Dhaka designs did not suit local taste: some stock never sold, much of what did went out on credit, and he ended up deep in debt. He switched to buying and branding shoes in Bhairab, brought two Bhairab craftsmen back to Chowmuhani and took a 3 lakh taka bank loan to open his own factory - and then both craftsmen left without notice and production stopped dead. He restarted with another craftsman, working day and night until the customers came back. The factory now employs 40 people, makes 300-350 pairs a day, sells about 30 lakh taka of shoes a month and leaves him 3 lakh taka after all costs, with pairs priced at 300-800 taka and workers paid 150-200 taka a pair.
Lessons
- 1.If two craftsmen hold the whole production, a loan-financed factory stops the day they walk out: training your own hands is the only cover
- 2.Buying stock without knowing the local taste strands the capital in unsold goods and the credit book
Published with the person's permission, without revealing who they are.
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