PROJECT PROFILE ON BISCUIT INDUSTRY
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1 PROJECT PROFILE ON BISCUIT INDUSTRY 1. Name of the Project: BISCUIT INDUSTRY 2. Location within State/Country: ODISHA 3. Nearest Road, Rail & Sea connection: 4. Estimated Capital Cost of the Project: Rs. 1,50,80, Raw Material: FOOD, SUGAR, BAKERY 6. Environment Impact: The project is an Environment Friendly Activity. There will be no Ecological imbalance and Pollution hazards to the Localities because of the Project. 7. Time-frame for selection & completion Of selection of Project: period of 12 months. 8. Government Incentive package applicable To the Project: Capital Investment, Power, Interest, Transport, subsidies, etc.
2 PLANT & MACHINERY Machinery to be used are as follows: 1. Flour mixer 2. Rotary forming machine for hard Biscuit 3. Rotary forming machine for soft Biscuit 4. Tunnel Gas Oven 5. Oil Spray machine 6. Cooling conveyor 7. Layout Turning Machine 8. Sandwich machine 9. Packaging MARKETING CHANNELS The marketing channels plays important role in the distribution of the products to reach the potential customers. The selection of the marketing channels is also important.so choose my marketing channels as follows as Wholesaler & Distributor: These People working as a company partner because they are giving place our product. Wholesaler & Retailer: The registration with the trading companies like India mart will also be the marketing channel The factor influenced to choose the plant layout are as follow as: 1. Availability of Raw materials: 2. Availability of Skilful labours: 3. Good Transportation facilities: 4. Availability of the Water and Power supply:
3 FINANCE: Supply of finance is very important factor in the establishment of an enterprise is old. Finance is the life line of the Business. Finance deal with the arrangement of the sufficient capital for the smooth run of the Organization. Following are the certain sources of the finance scheme: A) Own Capital: 33.33% of the project cost will be financed by the promoter himself. B) Term Loan from the Commercial Bank: Rs. 1,00, 00,000 at the rate of interest 13.75%
4 Cost of the Project Sr No. Particulars Amount 1 Building 25,00,000 2 Plant and Machinery 80,00,000 3 Furniture and Misc. 2,00,000 4 Land 2,00,000 5 Preliminary and preoperative exp. 80,000 6 Working capital (3 months) 41,00,000 Total 1,50,80,000 Total Fixed Capital: Sr no. Particulars Amount 1 Building 25,00,000 2 Plant and Machinery 80,00,000 3 Furniture and Misc. 1,50,000 4 Land Development 2,00,000 5 Preliminary and preoperative exp. 80,000 Total Building: Sr no. Particulars Cost of the item Amount 1 Corporate Office 4,20,000 5,20,000 2 Show Room 3,50,000 3,50,000 3 Work Shop 8,00,000 9,50,000 4 Toilet 1,00, ,000 5 Store room 5,50,000 5,50,000 Total
5 Plant and Machinery: Sl. no. Particular Quantity Amount 1 Hydraulic Hot press 01 50,05,000 2 Steam Boiler 01 13,10,000 3 Chimney with 01 4,90,000 4 Ladder Air-pre Heater 01 2,88,000 5 Dust controller 01 2,07,000 6 Pressure reducing 01 3,90,000 station 7 Glue Machine 01 3,10,000 Total Furniture and Miscellaneous Expenses: Sr no. Particulars Quantity Amount 1 Furniture Office chairs 8 20,000 Almirah 8 40,000 Racks 20 50,000 Tables 2 5,000 Computer and Accessories 1 35,000 Fans 8 10,000 Sofa set 1 20,000 2 Work shed ,000 Total Land Sr no. Particular Price/acre Amount 1 Land Area (2 acre) Development 1,00,000 Own 2,00,000
6 Preliminary and Preoperative Expenses: Sr no. Particular Amount 1 Deposit for Power, Water, Telephone 20,000 2 Loan Application process fees 10,000 3 Deposit for internet 5,000 4 Legal Stamp Duty and Registration 20,000 5 Travelling 13,000 6 Consultancy 12,000 Total Depreciation (per annum): Sr no. Types of Assets Cost of Assets Rate of Amount Depr. 1 Plant and Machinery 80,00,000 10% 8,00,000 2 Furniture 2,00,000 20% 40,000 3 Building 25,00,000 5% 1,25,000 Total 9,55,000 Working Capital Requirement: Sr no. Particular 1 Month 3 Month 1 Raw Material 11,51,000 34,53,000 2 Salary and Wages 1,25,000 3,75,000 3 Power and Fuel 24,000 72,000 4 Other Manufacturing Expenses 5 Selling and Office 12,000 36,000 17,000 51,000 expenses Total 39,87,000
7 Raw Material: Sr no. Particulars No. of Price/tons Cost/month Cost /year Tons/month (Rs) 1 Food ,00,000 84,00,000 2 Sugar ,80,000 33,60,000 3 Bakery ,71,000 20,52,000 Total 11,51,000 1,38,12,000 Salary and Wages: Sr no. Name of the Post No. member of Salary /head Salary / month Salary /year 1 Manager 1 14,000 14,000 1,68,000 2 Accountant 1 9,000 9,000 1,08,000 3 Office staff 3 4,000 12,000 1,44,000 4 Chemist 1 4,500 4,500 54,000 5 Supervisor 1 6,000 6,000 72,000 6 Machine Operator 1 5,500 5,500 66,000 7 Skilled labour ,000 2,52,000 8 Unskilled labour 9 Women mazdoor 10 Mechanic cum ,000 3,60, ,000 1,08, ,000 1,68,000 Electrician Total 32 1,25,000 15,00,000
8 Power and Fuels: Sr no. Particulars Per month Per Annum 1 Fuel 8,000 96,000 2 Power 16,000 1,92,000 Total 24,000 2,88,000 Other Manufacturing Expenses: Sr no. Particulars Per month Per annum 1 Repairing of the 8,000 96,000 Machine 2 Packaging Material 4,000 48,000 Total 12,000 1,44,000 Office Selling, Distribution Expenses: Sr no. Particulars Per month Per annum 1 Transportation 2,500 30,000 2 Telephone and internet bills 3 Postage and 1,500 18,000 13,000 1,56,000 Stationeries Total 17,000 2,04,000
9 Cost of the Production: Sr no. Particulars Per month Per annum 1 Raw Material 11,51,000 1,38,12,000 2 Salary and Wages 1,25,000 15,00,000 3 Other Manufacturing 12,000 1,44,000 Expenses 4 Consumables 20,000 2,40,000 5 Repairing of machines 15,000 1,80,000 Total 13,23,000 1,58,76,000 Profitability Sr no. Particulars Per month Per annum 1 Sales 18,35,274 2,20,23,288 2 Less: Cost of Production 13,23,000 1,58,76,000 3 Gross Profit 5,12,274 61,47,288 4 Less: Office, selling, distribution 17, Less: exp. Interest on loan 1,12, % bank Net Profit
10 Cash Flow Statement Particular Rs Operation Activity Wages and salary Repair & machine Manufacturing Expenses Selling & Distribution Total Add Investment activity Building Plant & machinery Furniture Land Total Add Financial activity Loan Total cash flow income
11 PROFIT & LOSS ACCOUNT Capacity Utilization 85% 85% 79% 79% 79% 1 st year 2 nd year 3 rd year 4 th year 5 th year A Sales ,225,616 26,648,177 ear ,648,177 26,648,177 B Cost of Production Raw Material 1,38,12,000 15,048,000 16,552,800 16,552,800 16,552,800 Power 2,88,000 2,88,000 2,88,000 2,88,000 2,88,000 Wages and Salaries 15,00,000 15,00,000 15,00,000 15,00,000 15,00,000 Factory Overhead 120, , , , ,000 C Administration and Selling Exp. 2,04, , , , ,000 D E F G H I Gross Profit Before Interest Total Financial Expenses Interest on Term Loan Operating Profit Preliminary Exp. Profit and Loss Before Tax Provision for Tax Net Profit 6,30,3288 7,065,616 7,983,377 7,983,377 7,983,377 1,350,000 1,237,500 1,100, , ,000 4,953,288 5,828,116 6,883,377 7,020,877 7,158,377 4,953,288 5,828,116 6,883,377 7,020,877 7,158, , ,224 1,032,507 1,032,507 1,032,507 4,22,1095 4,953,892 5,850,870 5,988,370 6,125,870
12 BALANCE SHEET At the End of Construction Period Liabilities Owner's Fund 6,250,000 Reserve and surplus Secured Loan Term Laon Working capital adv. Current Liabilities and Provision Trade Credit Creditors Total Assets 10,000,000 10,000,000 1 st year 2 nd year 3 rd year 4 th year 5 th year 6,250,000 6,250,000 6,250,000 6,250,000 6,250,000 4,22,1095 4,953,892 5,850,870 5,988,370 6,125,870 2,124,000 1,495,905 16,250,000 24,019,000 9,000,000 2,124,000 3,059,108 25,387,000 8,000,000 7,000,000 6,000,000 2,124,000 2,124,000 2,124,000 4,666,930 5,529,430 6,391,930 26,891,800 26,891,800 26,891,800 Fixed Assets 10,930,000 9,97,5000 9,97,5000 9,97,5000 9,97,5000 9,97,5000 Current Assets, Loans And Advances Raw Material 15,048,000 13,812,000 16,552,800 16,552,800 16,552,800 Cash and Bank Balance 5,240,000 Debtors 1,52, Miscellaneous Expenditure and losses preliminary Exp. 80,000 80,000 80,000 80,000 80,000 80,000 Total 16,250,000 24,019, ,891,800 26,891,800 26,891,800
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