Raydean Industries Gets an Empowered Manufacturing Makeover by Power2SME
Established in the year 2008, Raydean Industries started operating as a manufacturing entity, providing innovative and high quality mild steel solar mounting solutions. The core group of Raydean Industries comprises qualified and experienced business-focused professionals, working to set new standards in solar mounting-based products and solutions. Since its inception, the company has been manufacturing two primary products of solar mounting:
- Solar auto and manualtracking system
- Solar top and ground mounted P.V. tracking system
The market for solar mounting-based products is fairly unorganised. There were challenges pertaining to timely procurement of raw material and impromptu finance requirements for purchases. Within a span of few years post operations, the company began to face challenges, such as, procurement and purchase of raw material, maintaining stable profits, etc. Raydean Industries experienced several roadblocks in its efforts to remain competitive in the steel market.
The following are the challenges that were faced:
- Raw material procurement: Procurement was the prime challenge as RI had to browse through different varieties of raw material at various price points in an unorganised environment.
- Hurdles to profit making: Owing to constant fluctuations in the prices of raw material, RI had to reduce its profit margin to procure good quality raw material.
- Identifying a suitable vendor: RI was dealing with several vendors, on a regular basis, to procure raw material. An unorganised process of procurement was affecting its time-bound customer deliveries. Getting the desired quality of raw material at a fair price point became a challenge in the market.
- Slowed financial growth: As credit procedures and procurement of quality raw material were not organised, RI started facing major growth-related concerns, despite their hard work.
Raydean Industries was in constant look out for a business partner with professional approach to address these challenges.
Solutions from Power2SME
Raydean Industries partnered with Power2SME in November 2015 to availits modern yet viable solutions to procure raw materials. The operational structure of Raydean Industries showed remarkable improvements after the partnership. Considering the existing benefits Raydean Industries also partnered with Power2SME for financial assistance and easy access to financial institute for credit. This strategic partnership helped RI to become far more competitive in the market than its contemporaries.
Mr. Sanjeev Dakshini, Promoter, Raydean Industries said, “Our profit margins showed improvement within a year as raw material procurement process was streamlined. This reduced the need to stock raw material and additional stocking costs. Power2SME helped RI maintain a constant flow of raw material at reasonable rates.”
Following are the solutions in detail:
- Procurement of raw material became consistent. With the help of Power2SME, RI could easily select vendors from the market providing raw material at best suitable prices. At present, RI procures 70 to 80 tonnes of raw material with the help of Power2SME.
- Under the financial support initiative, NBFC, Raydean Industries received credit support from HeroFin Corp at competitive interest rates. This helped RI to organize its financial operations.