Project family tree
Download as PPTX, PDF1 like1,473 views
The document provides details of a proposed project to start a ball pen ink industry in Aligarh, India. It includes information on the production capacity, implementation schedule, technical production process, financial aspects including total capital investment and projected profits, and addresses of machinery and raw material suppliers. The key points are that the project would produce 12,000 litres of ball pen ink per year, require a total capital investment of Rs. 8,09,900, and is estimated to generate a net profit of Rs. 2,99,610 in the first year.
Project family tree
- 1. Project Family Tree of Shaham & Friends SSI Unit Dodhpur Aligarh Presented by: Abu Shaham 10-MBA-18
- 2. Project Family Tree ABU SHAHAM (Owner) Mohd Alam Shamsuzzama (Manager) (Chemist) Mujahid Misbah Nemat (Accountant) (Clerk) (Tech. staff) Urman Sarfaraz (Skilled labour) (Un skilled labour) Sissharth,Umar,Azhar,Nasir (Casual Labours)
- 3. Project to start a ball pen ink industry in Aligarh PRODUCT CODE : XYZ PRODUCTION CAPACITY : Quantity : 12,000 litres (per annum) Value : Rs. 30,00,000 MONTH AND YEAR : January, 2013 In Sha Allah Dodhpur Aligarh UP 202002 Ph. No: xxxxxxxxxx Fax No: xxxxxxxxxx
- 4. Why ball pen Ink? Ball pen is one of the most essential items for students, educational institutions and for office work, etc. Ink is a viscous and coloured fluid composed of reflux blue, varnishes, oil and drier. This is a mass consumption item.
- 5. Market Potential Ball pen is the most common tool for all schools, colleges and university going students for writing purpose. As greater emphasis is being laid on removal of illiteracy by the government. The prospects of Ball pen ink industry is bright.
- 6. Basis And Presumptions Efficiency and working hours 8 working hours/day/shift 300 considered for full capacity days taken into account utilization. annually. Time period for achieving full Within 2 months after trial capacity utilization. production. Labours, wages and conditions. As per local salaries.
- 7. Cont… Interest rate for fixed and Average @ 14% working capital. Margin money Average 25% Rented shed With partition walls 20'× 21' Costing of machinery and As per local rates. equipment.
- 8. Implementation Schedule 1. Selection of site 2 months 2. Collection of quotation for 2 months M/c and Equipment 3. Procurement of machinery 1 month 4. Placement of order for raw 1/2 month material 5. Commercial production ½ month 6 months Total
- 9. Technical Aspects Process of Manufacture Metal complex dyes and complexes in castor oil/stand oil, varnishes and driers are mixed together in suitable proportions in a mixing machine. The material so produced is called ball pen Ink
- 10. Cont… Quality Control and Standards As per market demand. Production Capacity (per annum) Quantity 12,000 litres Value Rs. 30,00,000 Motive Power Electric power 5 H.P. approx. Man power 8 Nos. Pollution Control No liquid or gaseous effluents are released during the process. Pollution is not involved.
- 11. Financial Aspects A. Fixed Capital (I) Shed of size (rented) 20’×20' with partition walls Rs. 200 per month (ii) Machinery and Equipments
- 12. Cont… Description of M/Es Qty. Price (Rs.) Mixing machine with motor Cap. 10 litres 1 60,000 per 8 hrs. Weighing m/c platform type Cap. 50 kg. 1 15,000 Shovel made of stainless steel material 4 4,000 Scraper knife 4 1,600
- 13. Cont… Storage tank (for varnish and oil) 2 8,000 1 Triple Roll Mill 50,000 13 Total 1,38,600
- 14. Cont… (iii) Testing Equipments Qty. (Rs.) Ford’s cup 2 2,500 Rectangular Glass Sheet 2 800 Exhaust Fan (for pollution control) 1 800 Cost of power connection, Electrification and installation Charges@ 10% of the cost of M/c. and 14,270 equipments
- 15. Cont (iv) Total Cost of M/c. and Equipment Rs. 156970 Cost of office equipments/working Tables and chairs etc. Rs. 5,000 (v) Pre-operative Expenses Rs. 5,000 (vi) Total Fixed Capital Rs. 1,66,970
- 16. B. Working Capital (per month) (i) Personnel Designation No. Salary Total (Rs.) (Rs.) 1. Manager/Chemist 1 3,000 3,000 2. Accountant/Clerk 1 2,000 2,000 3. Skilled workers 2 1,500 1,500
- 17. Cont… 4. Unskilled workers 2 1,200 2,400 5. Casual labour 2 1,000 2,000 12,400 Total (+) Perquisites @ 15% of salaries 1,860 14,260 Total
- 18. (ii) Raw material (per month) Item Qty. Rate Value (Rs.) (Rs.) a) Metal Complex dyes 200Kg. 400/ kg. 80,000 b) Stand oil/castoroil/solvents 550 kg. 130/Kg. 71,500 c) Varnishes (alkyd/Phenolic/Maleic) 250 Kg. 140/Kg. 35,000 d) Drier 10 Kg. 230/Kg. 2,300 1,88,800 Total
- 19. (iii) Utilities (per month) (Rs.) a) Power 5 H.P. @ Rs. 3/unit 2,250 Utilities b) Water charges 500 2,750 Total
- 20. (iv) Other Contingent Expenses (per month) (Rs.) a) Rent of the shed 2,000 b) Postage and stationery 500 c) Consumable stores 500 d) Repairs and maintenance 500
- 21. Cont… e) Transport charges 1,000 f) Advertisement and publicity 1,500 g) Insurance 1,500 h) Sales expenses and miscellaneous 1,000 expenditure Total 8,500
- 22. (v) Total Recurring Expenditure (per month) (Rs.) a) Raw material 1,88,800 b) Utilities 2,750 c) Salary/Wages 14,260 d) Other expenditure 8,500 2,14,310 Total
- 23. C. Total Capital Investment Fixed capital Rs. 1,66,970 Working capital for 3 months Rs. 6,42,930 Rs. 8,09,900 Total
- 24. Financial Analysis (1) Cost of production (per year) (Rs.) a) Total expenditure 25,71,720 b) Depreciation on machinery @ 10% 14,270 c) Depreciation on furniture @ 20% 1,000 d) Interest on total capital investment 1,13,400 Total 27,00,390
- 25. Cont… (2 )Turnover (per year) (Rs.) Ball Pen Ink 12 KL @ Rs. 250 per litre 30,00,000 Net Profit Before Income Tax 2,99,610 10% Net Profit Ratio 37% Rate of Return 46.6% Break-even Point
- 26. (i) Calculation of Fixed Cost a) Depreciation on m/c equipments and office 14,270 equipments b) Rent of shed 24,000 c) Interest on total investment 1,13,400 d) Insurance 18,000 e) 40% of salaries and wages 68,448 f)40% of other contingent expenses 24,000 2,62,118 Total
- 27. Calculation Of B.E.P B.E.P = FC × 100 FC+Profit = 2,6,2118 × 100 2,62,118+ 2,99,610 = 2,62,118 × 100 5,61,728 = 46.6%
- 29. Addresses of Machinery Suppliers M/s. Siddharth Engineering Ltd. Kolkatta M/s. Mushtaque Engg. Enterprises Basti M/s. Shabnam Eng. Co. Ltd. Ghazipur M/s. Fahad Industrial Estate, kochi M/s. Pandey Ltd. Banaras M/s. Ismail Engg. Pvt. Ltd. Aluva
- 30. Addresses of Raw Material Suppliers M/s. Sarfaraz Quinon Pvt. Ltd. Saharanpur M/s. Alam Product Deoband M/s. Rafnas Organics Ltd. Calicut M/s. Azhar Dye Stuff Industries Ltd. Aligarh M/s. Ali Chemical and Industry Ltd. Calicut
- 31. THANK YOU !!!