aarchies ed project

8/4/2019 Aarchies Ed Project

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INTRODUCTION

BIO DATA OF THE PROMOTER

Name : Anghan Dinal R

Age : 19

Email Id : [email protected]

Hobbies : Watching T.VEducation : TY BBA

Skill : Communication skill

Experience : I have taken summer training in the Surat

District co-operative bank Ltd.for the periodOf 2 months as a partial requirement of our

BBA Programme.

Name : Gandhi Mitali J

Age : 19Email Id : [email protected]

Hobbies : Watching T.V, Listening Music

Education : TY BBASkill : Communication skill

Experience : I have taken summer training in the L&TMHI Boiler Ltd. for the period of 2 monthsAs a partial requirement of our BBA

Programme.

Name : Gulhane Ashwini GAge : 19

Email Id : [email protected]

Hobbies : Watching T.VEducation : TY BBA

Skill : Communication skill

Experience : I have taken summer training in the VenusJewels for the period of 2 months as a partial

requirement of our BBA Programme.



Name : Jariwala Anjali P

Age : 19

Email Id : jariwala. [email protected] : Singing, Watching T.V

Education : TY BBA

Skill : Communication skillExperience : I have taken summer training in the Surat

District co-operative bank Ltd.for the period

Of 2 months as a partial requirement of our

BBA Programme.

ORGANISATION

M/s Archies gift Shop (Partnership Firm)

ORGANISATION MISSION AND VISSION

MISSION

To achieve a global dominance in selected business by exceeding customer expectationthrough efficient and timely services.

VISSION

A: Active in creative thinking

R: React with customer as a friendC: Customer friendly opinion

H: Honesty with customer

I: Interacting with customer on regular basis to understandtheir need.

E: Express good feelings

S: See the customer as a king



Product details

Watches & clocks



Photoframes

Chinese toys



Books



Flower bucket

Belts



Purse

MARKET POTENTIAL

In today’s modern generation everyone likes to give gift &to gat gift. By gift we are

express our feelings in simple way. So, we decide to build more and more relationshipwith the human being. In addition, Indian people are believe in to give gift their relatives,

friends.

MARKET ANALYSIS

Market Area : Surat, Gujarat

Shop Place : Rangila Park, ghod–dod Road

Marketing system : Retail shop No of the staff : 5 Person

Way of Advertisement : pamphlet, hoardings, newspaper

Target market : Young, Teenagers, College

. Students and Local customer.



TECHNICAL ASPECT

RAW MATERIAL USE BY ORGANIZATION

Flower

Ribbon

Wrapper Sticker

Boxes

Paper bags

PLANT CAPACITY

Per day in Rs. : 5500Working days : 25

No of month : 12Total plant capacity: 5500*25*12

= 1650000 rs

LOCATION

Ghod-dod road, Surat

SITE

Rangila Park, opp gangor,

Near kalkatta bazaar,Surat.

PRODUCTION LAYOUT WITH PROCESS

Our shop belongs to services sector, so there is no production process for this

business. But there is a process of selling products to customers.Process of production layout is as follow:

1. First, we purchase products from manufacturers and

Whole seller as per our requirement or demand of customers.



2. After that, we will show these products to

customers.

3. Then, the customers select the product and pay theAmount for the product.

4. Then, we will pack selected product with attractive

gift wrapper.

POLLUTION CONTROL

Our shop is not manufacturing sector; it is belonging to service sector. So, there

is no production process for this business. So that chance of pollution control is

automatically nullifies.

POWER, FUEL, GAS SUPPLY

We use electricity as a power supplied by torrent power Ltd.

Total unit per month use : 300Price per unit : 5

No of month : 12

Total electricity bill : 300*5*12=18000rs.

COMMUNICATION SYSTEM

Face to Face

TelephoneE-mail

Internet

TRANSPORT FACILITIES



1. Tempo:

Per round rs : 250

Total round : 4Total rs : 1000

No of months : 12

Total tempo rent expenses: 250*4*1000*12=12000rs

2. Motor cycle:

Petrol per day : 400

No of working days : 25

No of months : 12Total petrol expenses : 400*25*12

=12000rs.

VALUE ADDITION

Home delivery

Attractive packaging

IMPLEMENTATION SCHEDULE:

No. Work Task Jan. Feb. March

1 Preparation of project report

2 Registration and other formalities

3 Application of term loan

4 Sanction of term loan

5 Application for purchasing shop

6 Getting power and water

7 Installation of furniture and fixtures

8 Procurement of product



Cost of finance

ARCHIES GIFT SHOP

COST OF THE PROJECT

sr no. particulars cost Rs.

1 cost of shop 3500000

2 furniture &fixtures 200000

3 vehicles 66250

4 working capital requirement 2337750

TOTAL COST OF THE

PROJECT 4000000

Means of finance

ARCHIES GIFT SHOP

MEANS OF FINANCE

sr no. particulars cost Rs.

1 own capital (850000*4) 3400000

2 Term loan (15%) 600000

TOTAL MEANS OF FINANCE 4000000



ARCHIES GIFT SHOP

ASSESSMENT OF WORKING CAPITAL REQUIREMENT

particulars 2011-12 2012-13 2013-14

current assets

closing stock 300000 250000 250000

Total current asset 300000 250000 250000

current liabilities

creditors(purchase/12) 56250 39583 56250

provision for tax(total adm.exp/12 10000 12000 14000

Total current liabilities 66250 51583 70250

Net working capital(C.A.-C.L.) 233750 198417 179750



ARCHIES GIFT SHOP

PROJECTED PROFIT AND LOSS ACCOUNT

Particulars 2011-12 2012-13 2013-14

Income

sales 1500000 2100000 2700000

Add:

Excess of Closing stock over opening stock 300000 -50000 0

Total Income 1800000 2050000 2700000

Cost of Production

Purchase 675000 475000 675000

Gross Profit 1125000 1575000 2025000

Less:

Administrative Exp. 120000 144000 168000

Depreciation 379937 341447 306880

PBT & T 625063 1089553 1550120

Less:

Interest on Term Loan 65250 13500

Profit before tax 559813 1076053 1550120

less:

Tax @ 30% 167943 322816 465036

Profit after tax 391870 753237 1085084

Net Profit 391870 753237 1085084



ARCHIES GIFT SHOP

PROJECTED BALANCESHEET

Particulars 2011-12 2012-13 2013-14

Liabilities

capital 3400000 3400000 3400000

R & S(profit) 391870 753237 1085084

secured loan 600000 240000 -

creditors 56250 39583 56250

Total liabilities 4448120 4432820 4541334

Assets

gross block 4000000 3620063 3278616

less:Dep 379937 341447 306880

net block 3620063 3278616 2971736

current assets

cash 780807 896267 1212214

misc.exp 15000 10600 19000

investment 125464 247337 338384

Total assets 4448120 4432820 4541334



Calculation of annual sales

particular 2011-12 2012-13 2013-14

per day sales in Rs 5000 7000 9000

days 25 25 25

total 12500 17500 22500

months 12 12 12

total 1500000 2100000 2700000

Excess of closing stock over opening stock

particular 2011-12 2012-13 2013-14

opening stock 0 300000 250000

closing stock 300000 250000 250000

excess of closing stock over opening stock 300000 50000 0



Administrative expenses

particular 2011-12 2012-13 2013-14

miscellaneous exp 15000 10600 19000

stationery exp 15000 20000 25000

transport exp 24000 30000 36000

telephone 12000 14400 18000

salaries 36000 42000 48000

electricity 18000 20000 22000

total administration 120000 144000 168000

Calculation of Depreciation on fixed assets

particular 2011-12 2012-13 2013-14Cost of shop (10%) 3500000 3150000 2835000

less:dep 350000 315000 283500

net block 3150000 2835000 2551500

Vehicle (15%) 66250 56313 47866

less:dep 9937 8447 7180

net block 56313 47866 40686

Furniture &fixtures (10%) 200000 180000 162000

less:dep 20000 18000 16200

net block 180000 162000 145800

Total depreciation 379937 341447 306880



Calculation of interest on term loan

monthsopeningbalance interest installment

total amountpay

closingbalance

1 600000 7500 30000 37500 570000

2 570000 7125 30000 37125 540000

3 540000 6750 30000 36750 510000

4 51000 6375 30000 36375 480000

5 480000 6000 30000 36000 450000

6 450000 5625 30000 35625 420000

7 420000 5250 30000 35250 390000

8 390000 4875 30000 34875 360000

9 360000 4500 30000 34500 330000

10 330000 4125 30000 34125 300000

11 300000 3750 30000 33750 270000

12 270000 3375 30000 33375 240000

13 240000 30000 30000 33000 210000

14 210000 2625 30000 32625 180000

15 180000 2250 30000 32250 150000

16 150000 1875 30000 31875 120000

17 120000 1500 30000 31500 90000

18 90000 1125 30000 31125 60000

19 60000 750 30000 30750 30000

20 30000 375 30000 30375 0



ARCHIES GIFT SHOP

Cash flow statement

year 2011-12 2012-13 2013-14

sources

own capital 3400000

loan 600000

annual cash (PAT+dep) 771807 1094684 1391964

creditors 56250 39588 56250

provision for tax 10000 12000 14000

total sources 4847057 1146267 1462214

application

fixed assets

shop 3500000

furniture 200000

vehicle 66250

closing stock 300000 250000 25000cash 780807 896267 1212214

total application 4847057 1146267 1462214

RATIO ANAYSIS



1) GROSS PROFITRATIO = GROSS PROFIT *100

SALES

year 2011-12 2012-13 2013-14gross profit 1125000 1575000 2025000

sales 1500000 2100000 2700000

gross profit ratio 75% 75% 75%

2) NET PROFIT RATIO = NET PROFIT*100

SALES

year 11-12 12-13 13-14

net profit 391870 753237 1085084

sales 1500000 2100000 2700000

net profit ratio 26% 36% 40%

3) CURRENT RATIO = CURRENT ASSETS *100

CURRENT LIABILITIES

year 11-12 12-13 13-14

current assets 300000 250000 250000

current liabilities 66250 51583 70250

current ratio 4.5:1 4.8:1 3.5:1

4) DEBT EQITY RATIO= TOTAL LONG TERM DEBT *100

CAPITAL



year 11-12 12-13 13-14

capital+reserve 3791870 4153237 4485084

total long term debt 600000 240000 _

debt equity ratio 0.16 0.05 0

5) DSCR RATO= NET PROFITAFTER TAX +DEP+ NON CASH ITEMS

INTERST ON TERM LOAN+ REPAYMENT OF TERM

LOAN

year 11-12 12-13 13-14

PAT+dep+non cash

items

786807 1105284 1410964

repayment of term

loan

425250 253500 0

DSCR ratio 1.85 4.36 0

aarchies ed project

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