RO Water

Business plan on processing of RO

Water and sale for gain.
 Product
The name of the package mineral water will be
Vivek Mineral water
The company is mainly oriented to manufacture
15 liter and 20 liter miberal bottle . The basic
attribute of the product are as following :
Priced at Rs 15 & 20.
Level of quality is exceptional.
Product is basically targeted for common indian
people who are not getting the good water resulting
into many diseases.
 Proposed location
Aslali in Ahmedabad
Cheaper land than Ahmedabad.
Sources of water.
No more competitors.
 Type of project
Small scale food processing unit that produces
50,000 60,000 liters.
And 5000 or more jug are distribute to outside
our village and 2000 jug for corporate offices
near to my location.
 Major consumers
Common people of village
Corporate offices

 Market potential
There is 50% opportunities in my location .
 Project details
A LAND AND BUILDING

Sr. Particular Area Required (m2) Rate Rs./m2 Total Value

1 Land 0 0 0

2 Building 200 2000 400000

Total Rs. : 400000

B MACHINERIES / EQUIPMENTS

Sr. Description Nos. Required Rate Rs. Total Value Rs.

1 RO Water Purification Machine 1 180000 180000

2 Jugs 150 500 75000

3 Tata motors ace-mega 1 435000 435000
4 Water storage tank (10,000) 3 76519 229557
5 0
6 0
7
8
Total 919557
(C) MISC. FIXED ASSETS

Sr. No Particulars Nos. Required Rate (Rs.) Total Value (Rs.)

1
Electrification and installation
18000
@10%
2

Total: 18000
(D) PRELIMINARY AND PRE-OPERATIVE EXPENSES

Sr. No Particulars Amount (Rs.)

1 Interest during implementation 0

2 Establishment Expenses ( Tech. Consultancy) 10000

3 Start-Up Expenses 15000

Total 25000
(E) SALES REVENUE

Year Items(s) Quantity Sold/Year Rate per jug. (Rs) Sales Realisation (Rs)

1 15 Ltrs jugs 360000 15 5400000

2 20 Ltrs jugs 360000 20 7200000

Total : 12600000
(F) RAW MATERIAL (MONTHLY REQUIREMENT)

Sr. No Items(s) Quantity Rate (Rs) Total Value(Rs)

1 0

0
(G) UTILITIES - Monthly
Sr. Particulars Expenditure (Rs)

1 Power/Electricity 5000

2 Water 0

3 Fuel/LPG 5000

Total 10000
(H) MAN POWER (Salaries/Wages)- Monthly

Sr. Particulars No. Wages/Salaries per Annual Expenses

Month (Rs.) (Rs)

1 Manager(owner) 1 0 0

2 Workers 3 3000 36000

3 0

4 0
Total 3000 36000
(I) REPAIRS AND MAINTENANCE- Monthly

Particulars Amount (Rs)

Repairs and maintenance 3000

(J) SELLING AND DISTRIBUTION EXPENSES - Monthly

Sr. No Particulars Amount (Rs) Remarks

1 Publicity Expenses 3000

2 Sales Expenses 2000

3 Freight 5000

4 Commission 0

5 Misc. 500

Total 10500
(K) ADMINISTRATIVE EXPENSES - Monthly
Sr. Particulars Amount(Rs) Remarks

1 Stationery & Printing 2500

2 Post/Telephone/Fax 500

3 Guest Entertainment Expenses 400

4 Misc. 2600

Total 6000
(L) INTEREST - Annual@14%

Loan Amount (Rs) Interest (Rs)

781500 109410
(M) DEPRECIATION

Sr. No. Type of Asset Cost of Asset Depreciation (WDW) Amount

1 Buildings 400000 10% 40000

2 Plant & Machinery 180000 20% 36000

3 Furniture 0 0

Total 76000
5. WORKING CAPITAL (one month) / One Cycle

Sr. No. Item Rs.

1 Raw-Material 0

2 Salary/Labour 15000

3 Administrative expenses 3000

4 Repairs & Maint. exp. 3000

5 Selling and distribution expenses 8500

Total 29500
6. TOTAL COST OF THE PROJECT

Sr. Particulars Total Value (Rs.)

1 Fixed Capital 10,00,000

2 Working capital ( One Cycle ) 29500

3 Preliminary & Pre-operative Expenses 12500

Total 1042000
7. MEANS OF FINANCE

Sr. No Particulars Percentage of loan Amount (Rs.)

1 Own Investment 25 260500

2 Term Loan 75 781500

Total: 1042000
8. PROFITABILITY PROJECTIONS

Sr. No. Particulars Amount (Rs.)

1 Annual Sale Realisation 12600000
2 Cost of Manufacturing/ Servicing

A Annual Working capital 354000

B Annual Interest on loan 109410

C Annual Depreciation 76000

Total 539410

3 Gross Profit/Loss (1-2) 12060590

9.Fixed Cost

Sr. Item Rs.

1 Depreciation 76000

2 Interest on capital investment 109410

3 40% of wages of staff & labour 14400

4 40% of expenses 7800

Total 207610
10. Break-Even Point

Break Even Point = Fixed Cost x 100

Fixed Cost + Profit

= 20761000

12268200

= 1.69 %