New Drug Licence? Your First 90 Days in a PCD Pharma Franchise

Getting your wholesale drug licence (Form 20B/21B or the equivalent issued by your State Drugs Control Department) is a milestone. The next question is usually harder: what do you actually sell, to whom, and how do you avoid locking working capital into slow stock? For many new licence holders, a PCD (Propaganda-cum-Distribution) pharma franchise is the fastest structured way to start. This guide lays out a practical first 90 days.

If you are still applying for the licence, start with our drug licence Form 20B/21B guide and the documents required for a PCD franchise.

Before day 1: confirm what your licence allows

Licence conditions differ by state and by the categories endorsed. Before you sign any franchise agreement, check with your State Drugs Control Department or a qualified consultant:

• Which categories your licence covers (allopathic drugs, Schedule H/H1, any restrictions on specific schedules).
• Premises, storage area and refrigeration requirements, especially if you plan to stock injectables.
• Competent person / registered pharmacist requirements and record-keeping rules (purchase and sale registers, H1 register where applicable).
• GST registration in the same trade name and address. Most medicines attract 5% GST since 22 September 2025, but rates depend on HSN code — see our GST guide for PCD wholesalers and confirm with your CA.

Days 1–30: choose a focus and a company

Pick one primary segment

New distributors often try to carry everything and end up with expiry losses. A better start is one primary segment that matches the prescribers and buyers you can reach:

Speciality divisions such as gynaecology or anti-infectives work well once you have a few committed prescribers in that specialty.

Shortlist and verify companies

Ask every company for its manufacturing licence, WHO-GMP certificate (if claimed), sample Certificates of Analysis and a draft franchise agreement. Use our PCD company selection checklist and read the monopoly contract red flags before signing.

Understand your margin, not just the MRP

Your earnings depend on the gap between your purchase rate and the rate you sell to retailers or hospitals (PTR/PTS), not on MRP alone. Work through a few products with the MRP, PTR and PTS margin guide before placing your first order.

Days 31–60: first order and first calls

Keep the opening order lean

• Choose 15–30 SKUs that your target doctors already prescribe as molecules, rather than the full catalogue.
• Check minimum order quantities per SKU and expiry dating on dispatch.
• For injectables, confirm storage conditions per label and plan refrigerated storage where required.

Build a call list

List 30–50 doctors, 10–20 chemists and any hospitals in your district. Track each visit: what was discussed, which molecules they use, and the follow-up date. A simple spreadsheet is enough at this stage.

Use promotional material properly

Visual aids, MR bags and samples help, but keep claims within the approved product information. Avoid making efficacy comparisons the company has not documented.

Days 61–90: repeat orders and review

1. Review sell-through by SKU. Re-order fast movers; stop re-ordering items with no movement after two cycles.
2. Add adjacent products that the same doctors ask about, e.g. a gastro-protective injection alongside antibiotics.
3. Check compliance records — purchase invoices, batch numbers and sale bills should reconcile. The drug inspector audit checklist is a useful self-check.
4. Consider institutional supply only when your paperwork is in order — see the hospital tender document checklist.

Common mistakes new licence holders make

• Signing a “monopoly” agreement without a written district list.
• Over-ordering to hit a discount slab, then facing near-expiry stock.
• Stocking injectables without suitable storage or temperature records.
• Choosing products the local doctors do not prescribe.

Start your PCD franchise with BIOFRIL HEALTHCARE

BIOFRIL HEALTHCARE manufactures at a WHO-GMP certified facility in Nalagarh, Himachal Pradesh, and offers PCD franchise across critical care injectables, general range, nutraceuticals and herbal products. New licence holders get:

• Monopoly district allocation documented in the agreement.
• Help choosing a lean opening SKU list for your prescriber base.
• Certificate of Analysis with every batch and documents for hospital/tender supply on request.
• Visual aids, MR kits and samples.

Browse the product catalogue, then use the form below to request the franchise price list for your district.

FAQ

Can I start a PCD franchise immediately after getting a drug licence?

Generally yes, once your wholesale drug licence and GST registration are active and your premises meet the conditions on your licence. Confirm any category or storage restrictions with your State Drugs Control Department first.

How many products should a new distributor start with?

There is no fixed rule, but a focused list of roughly 15–30 SKUs matched to the molecules your doctors already prescribe usually limits expiry risk while you build demand.

Do I need a cold-chain setup to sell injectables?

Only for products whose label requires refrigerated storage. Many injectables are stored below 25°C or 30°C, but always follow the label and keep temperature records.