How To Start Hair Oil Business From Home [Hair Oil Business Plan]

. 7 min read
How To Start Hair Oil Business From Home [Hair Oil Business Plan]

If you're planning to start a hair oil business in India, then this guide will definitely help you with your research. Due to an awareness of health-related benefits, Ayurvedic items such as herbal hair oil have become a common item of personal care for both men and women and children. That's why there is always a large demand for it, and starting a hair oil business in India will prove to be profitable. Often interchangeably used with Ayurvedic products, herbal products have been in demand for the past few years.

The demand is so huge in India, owing to our rooted culture and inclination towards all-things-natural, starting an oil business has become a lucrative business. If you can solve your consumers’ pain point through effective oils that are chemical and toxin-free, there is no limit to how much profit you can make in this business.

Once your hair oil business takes off in India, you can also export to countries where the demand for genuine herbal oil products is increasing day by day. So think no further if you are a problem solver and want to know how to start a hair oil business.

How to Start Your Own Hair Growth Oil Business In India

1. License And Registration Required For Starting A Hair Oil Business

Below are some licenses which are required.

  • MSME Udyog Aadhar
  • Firm Registration
  • IEC Code
  • Trade Mark
  • GST Registration
  • Trade License
Organic essential aroma oil with mint on aged wooden background

2. Required Machinery for the Process

A mixing tank equipped with a stirrer, a filling machine, a sealing machine, a bottle washer, and a dryer filter press and testing equipment constitutes the essential equipment necessary for the same. Additionally, glass bottle containers for pouring the oil are necessary.

3. Profits

On an estimated weekly basis, individuals engaged in the herbal hair oil manufacturing industry will earn between INR 20000 to 50000. This means a higher share of the market can be tapped into since there is still a market for herbal hair oils. Health-conscious consumers and growing awareness make it easier for companies to sell herbal hair oil and Ayurvedic products, resulting in higher profits. It is also possible to earn over INR 1 lakh per month with a medium-sized herbal hair oil manufacturing company.

4. Manpower Required

A single person can’t manage all aspects of the herbal hair oil manufacturing business on their own. You will need manpower and individuals with relevant expertise or experience in the hair oil manufacturing industry.

  • The workforce needed to establish a small-scale herbal hair oil manufacturing company is approximately two to three professional employees.
  • A medium-scale herbal hair oil manufacturing company will need a maximum of five to eight employees.

Also read: Essential Oil Manufacturers in India

5. Concentrate on one specific product

Whenever it comes to beginning a company, many novices jump right in and begin producing several forms of hair oils simultaneously. This could turn out to be difficult in the long run, particularly if you operate a medium or large-scale company. It is often recommended to begin with one type of hair oil, catch the niche, establish a strong demand, and then expand to some other type of hair oil.

6. Location

Whether the herbal hair oil company operates on a medium or larger scale, your processing plant or warehouse should be located in an area with convenient access to raw materials and essential elements such as energy and water. The minimum space required is 300 square feet.

7. Marketing strategy

Develop a sound marketing strategy to promote your business. The easiest way to do so is to build social media channels and sustain a digital presence. To maintain a competitive brand in the industry, it is important to promote your company heavily. Take the appropriate steps to advertise the product, both offline and online methods. Advertising should be an ongoing operation, even after the company has established a solid customer base.

Also Read: Top Hair Colour Brands in India

Hair Oil Business Plan: Target Consumers

  • Local businesses: Local shops should always be your priority; regardless of the size of your business, whether little or huge, you should always begin with local shops.
  • Retailers: While some retailers specialise in a few types of items, the majority specialise in herbal hair oils as well, and you may approach them to showcase your products.
  • Supermarkets: Here is where you’ll find the greatest demand. Supermarkets usually have a higher demand for goods and maintain large inventories, so your products are sure to move faster here.
  • Online Retail Stores: Since many online retailers sell a variety of items, you can collaborate with them to increase the sales of your herbal hair oil.
  • Distributors: This is another great method of expanding your reach to more stores and a larger audience; you may approach Distributors to do so.
  • Ayurvedic stores: The best and most valuable target will be Ayurvedic stores that cater exclusively to Ayurvedic customers. Here you will be able to sell large quantities of your hair oils.

How to Start A Hair Oil Business From Home

The production process comprises the following steps:

  • Combining: To begin, combine the base oil, herbal extracts/oils, perfumes, and colours in the desired quantities in a mixing tank. Then run the slow speed stirrer for 15-20 minutes, and then allow the mixture to settle for two to three hours.
  • Filtering: Then, use a filtering cloth or a sieve to filter the oil. This helps remove any impurities.
  • Examination/Testing: Following filtration, the oil must be sent to a laboratory for necessary processing because you will be selling this to people; it needs to be approved/certified.
  • Labelling and bottling: After passing necessary inspections, pour the oil into cleaned and dry bottles in the appropriate quantities. Finally, seal the bottles and attach labels on the bottles with your brand’s name on them.
  • Protective packaging: You can use corrugated boxes as the exterior wrapping. Finally, the finished product is ready for marketing.
Lemon grass essential oils placed on a wooden table.

Hair oil is one of the most widely used ingredients worldwide. From rural areas to metropolitan towns, the market for herbal oil is evident, and the hair oil market is expected to continue to grow in India. To know how to start a hair oil business, it is necessary to conduct extensive research about the product's need, total market share, and, most importantly, the competitors existing in the market.


Herbal hair oil production is a highly lucrative market in today's world, where consumers are extremely conscious of their looks and health. From the age of 7 to 70, everyone requires hair oil to keep their hair safe and manageable. Herbal hair oil is particularly beneficial for nourishing the hair and treating several hair-related problems such as hair loss, hair growth, dandruff, and hair greying.

We hope this comprehensive guide helped you to understand the vast opportunity in the herbal oil business. Starting a hair oil business from home needn’t be difficult if your hair oil business plan is in place. If you have any queries, let us know.

Also Read:
1) Biodiesel Manufacturers In India
2) Valves Manufacturers In India
3) Battery Manufacturers In India
4) Toy Manufacturers In India
5) Best Hair Dryer Brands in India
6) Best Soap Brands in India

Stay updated with new business ideas & business tips with OkCredit blogs in English, Hindi, Malayalam, Marathi & more!
Download OkCredit now & get rid of your bookkeeping hassles.
OkCredit is 100% Made in India.


Q. How to start your own hair oil business?

  • By obtaining a small business licence from the municipal corporation.
  • If you wish to incorporate a business, you must complete the registration procedure outlined by the Company of Registrars
  • Learn the Manufacturing Process of Herbal Hair Oil
  • Research the market

Q. How are herbal hair oils manufactured?

Ans. Hair oils are one of the most straightforward items to make. Hair oil is generated at a slow speed in a basic stirring tank. The various oil bases are combined according to the formulae, and afterwards, ingredients like herbs, essential oils, and colours are added. Perfuming is completed, and the container is then carried directly to the filling station.

Q. What is the investment required to start a hair oil business in India?

Ans. The primary variation in investment returns is determined by the sector in which you invest. If you want to start at a small scale, the investment would be between ₹2.5 Lakhs - 4 Lakhs, and if you plan to start at a medium scale would be 6 Lakhs+.

We hope our article helped you with your research, you can also visit these similar articles as well:
Medical Equipments Manufacturers In IndiaElectric Vehicle Manufacturers In IndiaLithium Battery Manufacturers In IndiaCosmetic Manufacturers In India
Manufacturing Companies In IndiaE Scooter Manufacturers In IndiaLED Light Manufacturers In IndiaCarpet Manufacturers In India