ST. MICHAEL POLYTECHNIC COLLEGE
KALAYARKOIL-
630551
FESIBILLITY REPORT ON
ENTREPRENEURSHIP AND STARTUPS
(Selvamary Toilet soap Manufacturing)
Report work submitted in partial fulfilment of the requirement for the award
of DIPLOMA IN MECHANICAL ENGINEERING OF STATE BOARD OF
TECHNICAL EDUCATION
Report prepared by
SURIYA.R (21214250)
ST. MICHAEL POLYTECHNIC COLLEGE
KALAYARKOIL- 630551
2022 - 2023
MECHANICAL ENGINEERING
BONAFIDE CERTIFICATE
BOARD OF TECHNICAL EDUCATION
REG NO:
This is to certify that we entitled Feasibility Report on Entrepreneurship and Startups being
submitted by
in partial fulfillment of the requirements for the award
of DIPLOMA IN MECHANICAL ENGINEERING OF STATE BOARD OF
TECHNICAL EDUCATION is bonafide record of the work done by him during the academic year
2022 – 2023.
INTERNAL MARK
SIGNATURE OF STAFF
HEAD OF THE DEPARTMENT
Submitted for the viva- voce examination held on
INTERNAL EXAMINER
EXTERNAL EXAMINER
APPENDIX – I
SAMPLE FEASIBILITY STUDY REPORT
FEASIBILITY STUDY REPORT ON
INTRODUCING E-COMMERCE PLATFORM FOR ONLINE SALES
1. EXECUTIVE SUMMARY
AmulBestChocolates(ABC)isaleaderinthesalesofchocolatesandconfectionsthroughout India.ABC’sproducts
aresoldfrom50storesthroughoutthecountryandmaintainareputationfor superiortasteandquality.WhileABC’s
saleshavegrownoverthepast10years,therateofgrowth hasslowedsignificantly.Onekeyfactorforthisslowing
growthrateistheshiftinthemarketplaceto purchasingchocolatesandconfectionsonline.WhileABCmaintainsaweb
site,itisnotcapableof hosting an e-commerce platform for online sales. ABC’s sales occur only in its brick and mortar
facilities and the company is losing potential customers to competitors who provide online sales. The chocolate and
confections marketplace is healthy and shows a continued growth trajectory over the next five to ten years. ABC is in a
position to capitalize on this online marketplace by leveraging existing technologies, industry best practices, and an
aggressive marketing and sales campaign to
rise up the company’s growth projections for the forthcoming future.
2. DESCRIPTION OF PRODUCTS AND SERVICES
ABC is considering a move to create and provide an online platform from which to sell its existing product line.
Until now ABC has only sold its products from itschain of brick andmortar facilitiesandhasbeenlimitedtosaleswithin
thegeographicalregionswhereitsstoresreside.By doingso,ABChasnotbeenabletocapitalizeonthegrowingtrend
ofonlinesaleswithinthe chocolate and confections marketplace. By offering its products through an online platform,
ABC can marketitsproductstoanentirelynewmarket,increaserevenueandgrowthprojections,andallow customers
to purchase our products from the convenience of their own homes.
There are no proposed changes to ABC’s current product offerings as a result of this study. Online sales will include only
current products and any changes to this product line must be considered outside of the purpose of this document.
3. TECHNOLOGY CONSIDERATIONS
Upgraded technological capability will be required for ABC to move toward offering an online marketplacefrom
whichcustomersmaypurchaseourproducts.Customersdemandasimpleand easy way by which to conduct online
transactions and it is imperative that all transactions are conducted in a secure manner. While ABC maintains a web site
with product lists and descriptions, it does not currently allow for purchasing to be done online.
Thisfunctionalitymustbeintegratedwithourcurrentwebsitetoallowforsecurepurchasesto bemade.
Additionally, new online marketing functionality must beconsidered in order to target existing and potential
customers through methods such as e-mailing lists, promotional advertisements, and loyalty discounts.
WhileABCmaintains asmallinformationtechnology (IT)group,theexpertisedoes notcurrently exist internally to
design, build, and implement the sort of extensive online platform required for this effort. Therefore, the
recommendation is to contract this work out to an internet marketplace provider whocanworkwithABC tomeet
itsneedswithinthedeterminedtimeframeandbudget.It shouldbenotedthatwhileABCdoesnothavethisexpertise
internally,thetechnologyexistsandisin use throughout themarketplace which lowers the risk of thisconcept
considerably.
ABC currently maintains a high speed internet connection, web server, and the latest software. Withtheadditionof
ane-commerceportal,itisexpectedthattherewillbeanoverallcostincreaseof 5-10% for web server operations and
maintenance costs.
4. PRODUCT / SERVICE MARKETPLACE
Theonlinemarketplaceforchocolatesandconfectionshasbeenthrivingformany years. InFY2021
online chocolatesales accounted for approximately 20million or 20% of total chocolate sales
worldwide. While chocolates and confections are available inalmosteverystore,ourprimary
marketplaceconsistsofspecialtychocolates and
confections. All of ABC’s current.
majorcompetitorsalreadyhaveanestablishedonlinepresenceofatleast3-5years.Thetop3
competitors are currently: Sumith Chocolates, Worldwide Candy, and Chocolate International. A large majority of ABC’s
customer base are returning customers and referrals from existing customers. By providing a more convenient means
of purchasing our products online it is expected that we will retainthesecustomerswhileconductinganonline
marketingcampaignfornewcustomersaswell.
ABCwilldistributeonlinepurchasesviadirectshippingfromtheneareststorelocation.This willallowABCto
providetimelyshippingandeliminatetheneedforacentralwarehouseorfacility fromwhichtostoreandshipits
products.Suchafacilitywouldrequireasignificantcapital investment as well as increased operation and
maintenance costs. However, based on anticipated growth projections, ABC must ensure that all store locations maintain
adequate inventories on hand to satisfy customer demand.
5. MARKETING STRATEGY
Inordertobesuccessful,ABCmustdifferentiateitselffromcompetitorsinordertoappealto customers in the
online marketplace. To do this, ABC will utilize its practice of personalizing its product packaging which it currently
offers in-store customers. Current competitors do not currently provide any personalization of packaging. Customers will
have the ability to personalize messages on or inside of product packaging, request specific colour- based themes, or tailor
packaging for special occasions orevents.
ABC will implement a customer e-mailing list in order to send product promotions, sales advertisements,and
otherspecialofferingstocustomerswhoregister.Additionally,ABCwilloffer referral incentives to customers who refer
our products to friends and family in order to provide additional incentives.ABC will alsomaintain acustomer database
in orderto determine its target customergroupsandgeographicalregions.ABCwillresearchmarketingintelligence
providersto determine the benefits and costs of purchasing customer information for bulk email campaigns as well.
AnotherimportantconsiderationofABC’sonlinemarketingstrategyiscost.Electronicmarketing communication costs
are very small in comparison to direct mailmarketing which ABC currently utilizes. However, we expect the additional
revenue from online sales to greatly outweigh these additional electronic marketing costs.
It is important to note that ABC’s current marketing and sales staff will require training in online marketing and sales
practices.Thistrainingwillneedtobecontractedtoatrainingprovideraspart of our startup costs and schedule.
6. ORGANIZATION AND STAFFING
The ABC online sales campaign is not anticipated to significantly affect the organizational structure ofthecompany.
Thereare,however,severalstaffingadditionsrequiredtosuccessfully implementthe online sales campaign. All of these
positions will work within existing
departments and report to department managers.
Staffing Position #1 : Online Sales Manager – this full time position will lead sales staff in identifying sales
opportunities and converting these opportunities to actual sales. This person will report to ABC’s Director of Sales and
will work in ABC headquarters.
Staffing Position #2 : Online Marketing Manager – this full time position will lead marketing staff in
identifying target customer groups/markets and conducting online advertising/marketing efforts to
maximize traffic to ABCs online marketplace. This person will reporttoABC’sDirectorofMarketingandwill
workinABCheadquarters.
7. SCHEDULE
The ABC online sales campaign is expected to take six months from project approval to launch of the e-commerce
platform. Many of the foundations for this platform, such as high- speed internet and web server capability, are already
available. The following is a high level schedule of some significant milestones for this initiative:
Jan 1, 2023 : Initiate Project
February 1, 2023 : Project kick-off meeting
March 1, 2023 : Complete online sales site design
April 1, 2023 : Complete testing of online sales site
June 1, 2023 : Complete beta testing trials of online sales site
July 2, 2023 : Go live with site launch
Upon approval of this project a detailed schedule will be created by the assigned project team to include all tasks and
deliverables.
8. FINANCIAL PROJECTIONS
The financial projections for the addition of an online sales platform for ABC are highlighted in the table below.
These figures account for projected online sales, additional staffing requirements, shipping, material, and insurance costs,
contract support for IT and training needs, and web server and hostingcosts.
The assumptions for these projections are as follows:
In store sales projections remain unchanged
All milestones are performed in accordance with the schedule
All transactions are closed yearly with no carry-over to subsequent years
Amount (Rs. in Lakhs)
Measure
Year Year Year
1
2
3
Year
Year
4
5
5
Year
Total
Online Sales Projections
42.5
50
65
80
272.5
35
Additional Cost
Additional Staffing Costs
16
17
20
23.5
25.5
102
Projected Material, Shipping, Insurance Costs
4.2
5.8
7
7.8
8.4
33.2
Additional Web Server and IT Hosting /
2.2
2.5
3
3.5
4
15.2
7.5
0
0
0
0
7.5
10
0
0
0
0
10
Total Additional Costs for Online Sales
39.9
25.3
30
34.8
37.9
167.9
Cash Inflow
- 4.9
7.2
20
30.2
42.1
104.6
Maintenance
Training for Sales and Marketing Staff
Contract for Design, Build, and Implementation
of Online Store
9. FINDINGS AND RECOMMENDATIONS
Based on the information presented in this feasibility study, it is recommended that ABC approves the online sales
initiative and begins project initiation. The findings of this feasibility study show that this initiative will be highly beneficial to
the organization and has a high probability of success. Key findings are as follows:
Technology :
Will utilize existing technology which lowers project risk
Ecommerce infrastructure will be contracted out to vendor which allows ABC to share risk
Once in place this technology is simple to operate and maintain for a relatively low cost
Marketing :
This initiative will allow ABC to reach large number of target groups electronically at a low cost ABC can expand
customer base beyond geographic areas where stores are currently located
The marketplace for online chocolate and confection sales is in a steady state of growth
ABC is able to differentiate itself from its competitors and will utilize incentive programs to target new consumers
Organizational :
Minimal increases to staffing are required with no changes to organizational structure No new facilities or capital
investments are required
Financial :
Break-even point occurs early in the second year of operation
Five year projections show online sales accounting for 25% of total sales
ABCwillbeinpositiontocapturegreatermarketsharebymaintainingbothanin-storeandonline presence
TOILET SOAP MANUFACTURING UNIT
INTRODUCTION
In present age, all people want to appear smart and elegant in his personality.The
historyofsoapindustryinIndiaisveryoldsaysince1889. Theuseofsoaporsoaplike
cleaningagenthasalwaysbeenassociatedwith man’s inherentinstinct tokeep his body
and otherbelonging clean.Soap helpremoveslagfromskintomakeskina brilliantglow.
Theprincipal raw materialofsoapisoilandfats.Accordingtotheserawmaterialsthe
quality ofsoapandcategoryofsoapischanged.Thenecessaryrawmaterials are neededto
beofhighpurityandthefinishedproductshouldhavethe balancedpHasitsfrothmay
entertheeye.Toiletsoapsaremadeby combining liquid fats (like vegetable oils or animal
fat) with an alkali like sodiumhydroxide(alsocalledlye).Theprocessiscalled
―saponification‖; thedefinitionof―saponify‖isliterally―toturnfatoroilintosoapby
reaction with an alkali. During the curing process, the sodium hydroxide and water
evaporate out of the product, leaving behind just awesome soap‖.
―Superfatting,‖ which refers to the process of adding liquid fats to soap
after saponification, is popular for its rich, moisturizing effect. Clear soaps willaddglycerin
andsorbitol(asugaralcoholwithemollientproperties), and products labeled
―antibacterial‖ usually rely on triclosan, a substance thatkillsbacteriaandhelpsprevent
fungusgrowth.Asimpleproduction method with high return soaps are invariably used in
every household. The antibacterial soap with a moisturizer added has huge market potential.
The marketisspreadfromremotevillagetothemetrocitiesalike.Theindustry gives a good
profit and high employment oriented.
MARKET POTENTIAL
ThereisavastmarketavailableforBeautyToiletSoapinKeralaanditsaround.Itbeing softin nature will act
onskin givingsoothing effect.This Beauty soap is nothing but a toiletsoapofgoodandrefinedquality
andbalancedpH,sothissoaphaveasgood marketasothertoiletsoaphave.Becauseofitscharmingname
thissoapcanbeusedby allmale,femaleirrespectiveofcaste,creedandsex.Asthefashiongrowsupits
market potential will also grow accordingly. Considering the population trend in the state, there isstill an
amplescope forgrowth of thisindustry. There aresomany kind of toiletsoap floodedinthemarketbut
becauseofitspeculiarnameandnature,qualityand properties it will also grab good market in
present scenario.
QUALITY CONTROL & STANDARD
Inordertomaintainthebestqualityoftheproductitisverymuchnecessaryto manufacture this soap
under some specific standards. This mean to say that some standardspecificationhasgottobefollowedto
maintaincertainqualitiessuchaspH, acid, No. total fatty matter(TFM) available and moisture etc. Taking
into account its use the productshould
be skin-friendly in all respects and point of view. To
manufacture this Beauty Soap a general standard for toilet soap i.e.
IS:2888-194or revisedcanbefollowed.Somechangesintheproduct specification
can be taken
intoaccounttoimprovethequalitysoaptosatisfythecustomer’s demand
andrequirement.
BASIS & PRESUMPTION
♦ The unit will work 6 days a week. On single shift basis (8 hours)
♦ The calculations have been carried out on present data available.
♦ Ifnecessaryothertypeofsoaplikeshowergelcanalsobemanufacturedbyusingthe same
machinery.
♦ The production capacity i.e. 80% have been taken into account.
♦ The wastage has been considered at a rate of 2%.
Toilet Soap
Quantity (Kg)
Value (Rs)
364560 Nos
Rs. 47,39,280.
IMPLEMENTATION SCHEDULE:
i.
RegistrationofUnit(EM-1)
- Oneday.
ii. Loan Sanction (including TFR) -2Months
iii. NOC-Pollution Control Board
-1 Month
iv. Installationofmachinery
-1 Month
v. Powerconnection
-1 Month
vi. Testingoperation
-1 Month
vii. Production -7 Month onwards.
TECHNICAL ASPECT
ThisBeautysoapwillbemanufacturedaspertheset
formulation,Statedasbelow,soastohavetheskin friendly
soap for daily use.
.
Name of raw material
Quantity (Kg)
1 Coconut oil
50
2 Tallow
50
3 Caustic soda
50
4 Colour (green, blue, rose,orange,yellow, etc)
0.05
Perfume mixtures for the soap
1 Bergamot oil
5.5
2 Jasmine oil
3.0
3 Lavender oil
3.5
4 Palm rose oil
3.5
5 Lemon oil
2.5
6 Cedar wood oil
2.0
7 Tincture for musk
0.5
MANUFACTURING PROCESS
The beauty toilet soap can be made or manufactured into 2 steps namely preparation of
soap base and to obtain finished products soap base. For making the soapbasethespecificationsis
carriedwhichisdonebyeitherremittingand perfumingandsecondlybymilling process.Fat
shouldbeusedofhighstandard quality. Weigh fat oil & lye (sodium- hydroxide) accurately, if the lye
is weighed more, the soap will be hard and harmful to skin and if the lye is low, the fat will not be
saponifedproperly.Meltoilfatintoakettleandfilterittoremoveanyimpurity. Nowaddcaustic
sodalyeintoitslowlyandstircontinuouslywhentheoilis saponified fully add perfume and
colours and pour into moulds.
FINANCIAL ASPECTS
LAND & BUILDING:
1
Covered area
Sq. Ft.
500
2
Uncovered area Sq.
Sq. Ft.
250
3
Total area
Sq. Ft.
750
4
Whether constructed or
Constructed
Rented
5
If constructed, constructed
Rs
5,00,000/-
Rs
5,00,000
Value
Total
MACHINERY AND EQUIPMENT:
SN.
Description
Qty- Nos
Value (Rs.)
1
Saponifying fans -100kg
4
7000
2
Melting pans/kettle with agitator/ stirrer
100kg
1
8000
3
Lye Storage tank with SS lining 50 lit. each
4
6000
4
Frames( for cooling soap)
4
6000
50kg. Capacity
5
Automatic soap stamping m/c
1
4000
( 50 pcs per minute )
6
Cutting machine
1
4000
7
Boiler
1
35000
8
Hydrometer, beaker, cylinder pHmeter,
-
20000
-
10000
spatula and furniture
9
Installation/Electrification
100000
Total
Total fixed cost Rs.1,00,000 + Rs. 5,00,000/- = Rs. 6,00,000/-
RAW MATERIAL & PACKING MATERIAL (PER MONTH):
S.N.
Particulars
Quantity
Rate
Value
(Rs)
(Rs)
(Kg)
1
Coconut oil
2
Tallow
3
Lye
4
Colour
170 1,70,000
1000
50
50,000
14
14,000
100
1,000
Perfumes
5
5000
Packing material
6
10,000
Total
2,50,000
STAFF & LABOUR (PER MONTH):
S.N.
Particulars
Nos
Salary
Value (Rs)
1
Manager / Director
1
10000
10000
2
Chemist
1
6000
6000
3
Skilled workers
2
4000
8000
Technical-Unskilled
worker
2
3000
6000
(i)
Clerk
1
3000
3000
(ii)
Peon/ Watch man
1
2000
2000
B
Sub-Total
Plus perquisites @ 15% o f salaries
35000
5000
TOTAL
40,000
OTHER EXPENSES (PER MONTH):
1
Power / Electricity Charges
3000
2
Water Charges
3
Maintenance & repair.
4500
4
Printing postage & stationery
2000
5
Cartage/ transportation charges
4000
6
Selling/ publicity
4000
7
Telephone
1200
8
Insurance
500
800
Total
20,000
WORKING CAPITAL (FOR ONE MONTH):
SL.NO.
1
DESCRIPTION
Raw material (Only 30 Days)
AMOUNT(RS)
250000
2
Salaries & Wages
40000
3
Other Expenses
20000
Total
3,10,000
Working capital for 3 months 310000*3= 9,30,000/-
TOTAL CAPITAL INVESTMENT:
Building
500000
Machinery & Equipment
100000
Working capital for 3 month
930000
Total
15,30,000
Promoter’scontribution(25%oftotalcapitalinvestment):3,82,500/-Govt. finance
(Bank Loan Amount): 11,47,500/-
FINANCIAL ANALYSIS
Cost of Production (Per Annum)
Total recurring cost per year( i.e Working
Capital for 12 months)
310000*12
months=37,20,200/-
Depreciation on machinery &
100000*10%=10,000/-
Equipment ( @ 10% )
Depreciation on Building ( @ 5 % )
500000*5%=25,000/-
Interest on total investment ( @ 10% ) [ Bank Loan
Amount
1147500*10%=1,14,750/-
Grand Total:
38,69,950/-
SALES PROCEEDS (PER ANNUM):
Qty (Kg)
Total capacity of project
37200Kg
Wastage ( @ 2% )
744Kg
Net production
No. of soap cake
Value (Rs.)
(37200744)=36456Kg
36456/0.100=364560
Nos
bearing 100 gram of weight each
Cost of each cake[ 100gm pack]
Total sale
Rs: 13/Rs 13.00 * 364560 Nos =
47,39,280/-
Profit Analysis (P.A.)
Net Profit =[ Sales- Cost of Production ]=
47,39,280-38,69,950= 8,69,330.
Income Tax at 30%=2,60,799.
Profit after tax=[8,69,330-2,60,799] =6,08,531/Rate of Return
On total sale =[ Profit * 100/Cost of Production] 6,08,531x100/38,69,950= 15.72
%. On total capital investment:= [ Profit * 100/Total Capital Investment]
6,08,531x100/15,30,000= 39.77 %
BREAK- EVEN ANALYSIS
Fixed cost x 100
Fixed cost + Net Profit
FIXED COST
Rent [ own building]
Rs: 0/-
Total Depreciation[ Machinery & Building]
Rs: 35,000/-
Interest on Total Investment
Rs: 1,14,750/-
40 % of Salary & Wages[ 40000*12/ 40%]
Rs: 1,92,000/-
40% of utilities & other contingent expenses[
20000*12/ 40%]
Rs: 96,000/-
Total:
Rs: 4,37,750
Net Profit =6,08,531/Fixed Cost: 4,37,750/B.E.P= 4,37,750 x 100 =41.84 %
4,37,750+6,08,531
Manufactures/ Suppliers of Machinery:
1 Mezhukkattil Mills No. 4/43, Chunangamvely,
Erumathala Post,
Ernakulam - 683112, Kerala
www.indiamart.com/mezhu kkattil-mills Ph:
08042964764
2
National Precisionss
No. 138/1, Semmam Palayam Pirivu, Nasiyanur PO
, Erode - 638107, Tamil Nadu
www.indiamart.com/national-precisionss
08376808718
Ph:
Rising Industries
Teghoria Loknath Mandir, Jhowtala, Ghosh Dutta Para,
TanushreeApartment,Kolkata-700157, WestBengal
www.risingmachinery.com
Ph: 08586924234
3
4
Frigmaires International
P. O. Box No. 16353, Janata Industrial Estate, Lower Unit No. 8, Senapati Bapat
Marg, Opposite Pheonix Mill, Mumbai - 400013,
Maharashtra www.feprojects.com Ph:
08447571763
5
Adhi SakthiProjects
No.40/9,EarikkaraiRoad,NearWiproComputers,
Kothapurinatham,Thiruvandarkoil,Pondicherry -605102,
Pondicherry www.adhisakthiprojects.com Ph:
08588811550
6
7
United Detergent Engineers No. 14, Bajanai Koil Street,
Uppilipalayam , Coimbatore - 641015,
Tamil Nadu
www.indiamart.com/uniteddeterge
ntengineers
Ph: 09953361667
Surya Machines
225, Kattoor Street, Valiyam
palayam Road, Kalappatti,
Coimbatore - 641048, Tamil
Nadu
www.indiamart.com/suryam
achines Ph:09442334760
Suppliers of Raw Materials
1 Mathewsons Exports & Imports Private Limited Mathewsons Building, Kaloor , Kochi - 682017, Kerala
www.indiamart.com/mathewsons-exim
Ph: 08045327801
2 Intermas
12/25,CollegeRoad,Panayapally,Kochi682002, Kerala
www.indiamart.com/intermas-cochin Ph:
08042954720
3 Nagarjuna Herbal Concentrates Ltd. Thodupuzha,. , Kochi - 685 588, Kerala
www.indiamart.com/nagarjunaherbal
Ph: 09961883222
Business Process Plan
RFP: Service e -aggregator
Proposed by: St. Michael
Polytechnic
Name: R. SURIYA
Reg : 21214250
Project Overview: A service-based web aggregator which will connect the end customer to the web
platform, this will be disseminated by our corporate model connecting the service provider to us by
bring end user to the service provider this will be our working model .
Project Goals:
● To inhabit the end customer with a quality service and trust
● To earn a profitable business model on a sustainable growth ●
To become a service aggregator
Scope of Work:
We propose to connect all the services which is provided by the individual service
provider and aggregator from fenner pvt limited, TVS pvt. limited, and train them
and certify them for proficiency and keep them updated with the latest
modification. Thus, making an efficient technician. This will empower them and
make them a capital asset for our revenue generation. These assets will be the
pillar and ground for revenue generation process, once certified these mechanics
will be bound by service contract (under companies act)to provide service to the
customer on behalf of our terms which includes using our propriety products, tags,
logos, and service condition, this will boost the sale of products which will be an
added sales and profit to the company , as a host of the service we will be earning
2% of profit from each services and sale , and we will split this profit with the
mechanic by 60% -40% model. As the service provider we get to be the middle man
in this process. As we have negotiated a deal with our primary vendor, we can buy
their products in advance on a lease-based agreements which will reduce the cost
of product by 5% to us this will be the primary earning source for us. This profit will
be further split into 60%-40% model where the 60% of profit we given to the
mechanic and 40% to us. This brings a total earning of mechanic to 5% on each sale
and as an aggregator we will earn 2.8% of profit on each sale. This makes the cost
of service on a rate par with service center & incentivize the mechanic to offer
genuine products.
Current Roadblocks and Barriers to Success
●
●
●
Mechanics psych on aggregator-based money sharing model
Low-cost replacement
Mechanics attitude toward the customer
Project by R.SURIYA
Contact: [R.SURIYA]
Budget: [5 lakh ]
Email: [suryarasu@gmail.com]
Phone #: [6382995537]
BUSSINESS PROCESS FLOW
Project Overview
Before you go into the specifics of our plan we want to shed some light on overall
viability of this plan in a mid-level city and it’s scalability, the gross product output of a
small city is some where ranging 2lakh cr to 10lakh cr. , taking the overall population
data from previous censes with added growth consideration we can easily come up
with an approximate figure which will be reliable and considered and taking cue from
PMI data published by the government of India we can forecast the service demand of
an average consumer and the growth perspective.
We propose to connect all the services which is provided by the individual service provider
and aggregator from fenner pvt limited, TVS pvt. limited, and train them and certify them
for proficiency and keep them updated with the latest modification. Thus, making an
efficient technician. This will empower them and make them a capital asset for our revenue
generation. These assets will be the pillar and ground for revenue generation process, once
certified these mechanics will be bound by service contract (under companies act)to provide
service to the customer on behalf of our terms which includes using our propriety products,
tags, logos, and service condition, this will boost the sale of products which will be a added
sales and profit to the company , as a host of the service we will be earning 2% of profit
from each services and sale , and we will split this profit with the mechanic by 60% -40%
model. As the service provider we get to be the middle man in this process. As we have
negotiated a deal with our primary vendor, we can buy their products in advance on a
lease-based agreements which will reduce the cost of product by 5% to us this will be the
primary earning source for us. This profit will be further split into 60%-40% model where the
60% of profit we given to the mechanic and 40% to us. This brings a total earning of
mechanic to 5% on each sale and as an aggregator we will earn 2.8% of profit on each sale.
this makes the cost of service on a rate par with service center.