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Pakiza Mineral Water Department of Commerce 1

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Project feasibility report of mineral water company.The Islamia University of Bahawalpur.

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Page 1: Mineral Water

Pakiza Mineral Water

Department of Commerce 1

Page 2: Mineral Water

Pakiza Mineral Water A Project on:

Submitted T

Sir Javeed IqbalSubmitted By:

Muhammad Pervez 02 Khalid Mehmood 58 Muhammad Imran 01

Msc (A\F) 3rd (Afternon) Session 2008-2010Submitted To:

Sir Javeed Iqbal

Department of Commerce 2

Page 3: Mineral Water

Pakiza Mineral Water

Department of Commerce 3

Page 4: Mineral Water

Pakiza Mineral Water

1 Preface 5

2 Dedications 9

3 Acknowledgement 10

4 Introduction of Mineral Water 11

5 Executive Summary: 13

6 Company Profile 15

a. Address of Company b. Location of Project c. Product Range Mix d. Installed Capacitye. Capacity achieved

7 Estimated Cost of Project 18f. Fixed Costg. Initial Working Capital

8 Means of Finance 19

9 Names of Financiers 19

10 Names of Civil Contractor 21

11 Names of Machinery Suppliers 21

12 Machinery Detail 22

13 Implementation Schedule 25

14 SWOT Analysis 26

15 Sector and Industry Analysis 28

16 Market Analysis 30

17 Technical Analysis 31

18 Flow Chart 33

19 Personnel Analysis 34

20 Financial Analysis 35

21 Assumptions 39

22 Project Visit Highlights 28

23 End words 33

Department of Commerce 4

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Pakiza Mineral Water

Being aware of the importance of practical implementation of any newly established project,

the Department of Commerce (IUB) requires every Msc(A/F) student having specialization in

Accounting & finance to go through feasibility of any project.

The purpose of the project feasibility is to broaden the vision of practical experiences with

theoretical knowledge as it increases one’s capabilities to handle problems at various stages

and the ability of decision.

We have tried our best to collect the valuable information and its relevant facts regarding the

“Pakiza Mineral Water” plant. We also have visited the plant working at Rahim Yar Khan

Coca Cola product Kinley and also the local plants of Aqua Nova and Aqua Life at Khanpur

for making our project reliable and successful.

This project concerning with Minera water production namely “PAKIZA MINERAL

WATER”.

GROUP NO. 08 Muhammad Pervez Khalid MehmoodMuhammad Imran

Department of Commerce 5

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Pakiza Mineral Water

“ Our Lord!Condemn us not

If we forget or fallInto error; our Lord!

Lay not on us a burdenLike that which Thou

Didst lay on those before us;Our Lord! Lay not on us

A burden greater than weHave strength to bear.

Blot out our sins,And grant us forgiveness.

Have mercy on usThou art our Protector;Help us against those

Who stand against Faith”

We must not be arrogant, and think that because Godhas granted us His favor and mercy we have no need

to exert ourselves, or that we are ourselvessuperior to those before us. On the contrary, knowinghow much they failed, we pray that burdens shouldbe lightened, and we confess our realization that

we have all the greater need forGod’s mercy and forgiveness.

(Surah-e-Bakarah 286)

Department of Commerce 6

Page 7: Mineral Water

Pakiza Mineral Water

Recommended Hadith

O Allah! Surely Thou art theForgiver. Thou lovest to forgive,

So forgive me.

Department of Commerce 7

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Pakiza Mineral Water

In theory,Theory and practice

Are the sameBut in practiceThey never are

(Pat Johnson)

Department of Commerce 8

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Pakiza Mineral Water

To our parent who burned mid night oil to reach us at this point and

who always teach and instruct us don’t make a hash in getting our right and suggest us a wrinkle.

Theirs not to make replyTheirs not to reason whyTheirs but to do and die.

Department of Commerce 9

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Pakiza Mineral Water

“The Purpose of Education is to replace an empty mind with an open one"

All praise for ALLAH, the most merciful and his prophet Muhammad (PBUH) is for

every torch of guidance and knowledge for humanity. We offer humblest and sincerest words

of thanks to ALLAH Almighty who blessed us with potential and ability to make material

contribution to already existing ocean of knowledge. We are also grateful to the department of

Commerce who give us the opportunity of completing our project on “Pakiza Mineral Water”

and enhance our capabilities. This project is very much helpful us as we learn a lot by applying

theoretical knowledge in practical field.

We would also show our gratitude to our honorable and respected teacher the Chairman

of Department of Commerce Mr. JAVAID IQBAL Who furnished us with the opportunity to

complete this project, and thereby consolidating our concepts, enriching my knowledge,

establishing our skills and strengthening our confidence, especially his lectures.

Moreover, we are really very thankful to

Cell# 03337482211

Owner of Aqua Nova situated at RYK

road Khanpur

Owner of the Aqua Nova plant who gives us his precious time and valuable information for

doing this project. We are also thankful to Abul Hassan Kazmi sb who is the Quality Control

Manager of the Coca Cola Factory at RYK visited us the Kinlay Plant(Coca Cola) and brief us

Department of Commerce 10

Page 11: Mineral Water

Pakiza Mineral Water the mineral water process with detail.other staff members for their cooperation & kindness;

helped us and polish our knowledge for animal feed unit.

Water is the necessity of our daily life, it’s so important for us that we need clean, safe and sanitary water every day, and usually there’s a more strict inspection standard in the more advanced country. There are two kinds of drinking water in the market. One is the natural water, which is called mineral water. The other is processed water coming from underground or from the pipe of water plant, which is called R.O. water, space water or pure water. Mineral water comes from natural springs. It contains a lot of various kinds of chemical goods such as potassium, magnesium and calcium, which are healthy to our body. After the water is filtered and sterilized properly, it’s our first choice to use it. However, the shortcoming is that the source of mineral water is limited. On the other side, pure water doesn’t contain any nutrition, but it’s easy to be obtained and very clean after being processed. It tastes good with PH value 5-7, that’s the reason why people like it very much. Pure water is processed through different stages of a filter system such as sand, carbon, and Reversed Osmosis System. The water is passed from 5 micron through 1 to 0.2 micron filter. After that, pure water can be filtered to remove harmful materials with an efficiency of 96%.

INTRODUCTION OF INDUSTRY

The potential markets for bottled / mineral water consist of foreign tourists and foreigners

working in Pakistan, hotel industry, patients (bottle water is also used to avoid the possible

consumption of contaminated water for the patients) and travelers. Moreover the bottled /

mineral water has been emerging as a daily preference of the elite class. Pakistan has been

facing the problem of drinking water shortage. This further integrates the demand for pure

drinking water in all cities.

There are around 26 players in the bottled water sector. According to the industry sources, the

number of bottlers scales up well above 70 during summer season due to increased demand for

drinking water.

Department of Commerce 11

Page 12: Mineral Water

Pakiza Mineral Water

PROJECTED DEMAND;

The weather is the main dynamic that may bring changes in the market size of the purified

drinking water as the daily water requirement increases in summer. When launching a new

brand of purified water for market, weather is the main dynamic, which should be given proper

consideration. The advertisement including TV and print media is expected to bring changes in

the demand. However, it is suggested that the new brand of purifies bottled water is launched

in the start of summer season. The entrepreneur have to match the brand launching time with

the advertisement and weather that would drive the demand of bottles water and willingness of

consumers to switch towards new brands

. PEODUCT PACKIGING:

It is suggested that the bottles of 0.5 liter and 1.5 liter capacity should be

used. Bottles should be clear. The bottle should give a reflection of light sky blue color, which

is considered a natural symbol of the water. This color also adds a tinge of purity. The water

should give a shiny and a glossy reflection. The opening of the bottle should be large enough to

accommodate outflow and inflow of water.

The color and the design will create a positive perception for the new brand. The wrapper of

the bottle is suggested to be on four-color printing and should have the following information

in addition to the logo of the company.

A brief introduction of the company with the address

Website address of the company

Brand Name

Net volume in System International / Metric system

Expiry Date (Best Before Date)

DEMAND SUPPLY GAP:

In the first phase of the launch of the new brand, availability will also play

the key role in attracting the customers. Since, the perception of the product is also directly

Department of Commerce 12

Page 13: Mineral Water

Pakiza Mineral Water related with is availability so it is suggested that the strategy for the availability of the product

be designed according to the target market.

Pakiza Mineral Water Company (proposed)

Basti Noray Wali , Rahim Yar Khan

Name of Project & Location:

The name of this plant is pakiza mineral water Company. It is located in Basti noray wali

because at this area the hardiness of water is minimum.

THE PROJECT

This proposed project presents an investment opportunity for establishing bottled water plant

for providing pure drinking water. The proposed product line will consist of bottles of 1.5 and

0.5 liters. In the initial phase of the project only 0.5 liters and 1.5 liters bottles will be

introduced in the local market. After successful introduction of the new brand of bottled water

the product line may be extended to 13 and 19 liters cans.

This feasibility has been developed for a water purification plant with a capacity of 21000 liters

per day. The product mix consists of water bottles of 1.5 liters and 0.5 liter in the ratio of 70%

and 30% respectively.

PROJECT REQUIREMENTS;

a) LAND:- Basti noray wali RYK where water is easily available is ideal for this project. Since

purified bottled water is a kind of project, which needs an extended span of time for its

perception and brand recognition, so the recommended mode for the acquisition of land owned.

Department of Commerce 13

Page 14: Mineral Water

Pakiza Mineral Water

Suitable Location

This project has been developed with a focus of Rahim Yar Khan City. The appropriate

location would be any area in Basti noray wali RYK City. Where water is available along

with other infrastructure facilities. For the proposed set up of water purification plant, a total of

4 kanal is required.

b) CONSTRUCTION WORK:-

Period of construction is 6 months for civil works this includes space for the installation

of plant and machinery, management office and store for bottles, finished product and parking.

Total area covered is 04 Kanal which cost Rs 480,00,00.

.

c) PLANT AND MACHINERY:-

Most of the water purification plants being installed in the country are reverse osmosis based.

Government also recommends the RO based technology. This feasibility study is based on the

reverse osmosis plant. The details of the machinery & equipment are as following.

1) pump2) Storage tank3) Sand filter4) Jambo filter5) Carbon filter6) Reverse Osmosis7) Mineralization8) Ozonation9) Filteration(0.2mq)10) Ultra voilet rays11) Filling Machine

Department of Commerce 14

Page 15: Mineral Water

Pakiza Mineral Water 12) Generator

Address of Company: Basti Noray wali Rahim Yar KhanHead Office of pakiza mineral water Company is Located in the heart of Rahim Yar Khan city which is easily approachable by key regions of Punjab.

This

feasibility has

been

developed for

a water

purification

plant with a

capacity of

30000 liters

per day. The

Department of Commerce 15

Page 16: Mineral Water

Pakiza Mineral Water product mix consists of water bottles of 1.5 liters and 0.5 liter in the ratio of 70%

and 30% respectively.

Recommended project Parameters

Capacity Human Resource Machinery Location

30000 liters per day 14 Local + imported Rahim Yar Khan

It had very simple process consisting of physical operations of filtration and Ultra Violet radiation treatment. But today there are more than 26 brands of drinking water available in the market thus showing a substantial growth by the industry.

Department of Commerce 16

Page 17: Mineral Water

Pakiza Mineral Water

Installed capacity of our processing unit is 100 percent, which is 30000 liter per day

Currently the unit is achieving the capacity of 70 percent, which is 21000 liter per day

Department of Commerce 17

Page 18: Mineral Water

Pakiza Mineral Water

Fixed Cost Rs. 28,015,654Initial Working Capital Rs. 4984346

Financial Plan

Cost of the Project Local Foreign Total  Rs. Rs. Rs.Land and its Development 5,732,000   5,732,000 Building and Civil Work 6,242,000   6,242,000 Machinery and Equipment 7,035,000   7,035,000 Engineering and Technical Fee 100,000   100,000 Furniture and Fixture 100,000   100,000 Vehicles 4,400,000   4,400,000 Preproduction Expense 903,375   903,375 Office Equipment 78,000   78,000 Contingencies 400,000   400,000 Others 182,543   182,543 Interest During Construction 2,944,333   2,944,333 Total Fixed Cost 28,015,654   28,015,654 Initial Working Capital 4,984,346   4,984,346 Total Cost of the Project 33,000,000   33,000,000

Net Fixed Assets 27,112,279

Means of FinanceDebt 55% 18,150,000 Bank Name ( The Bank Of Punjab)  Total Debt 18,150,000

 Equity 45% 14,850,000 Toral Equity and Debt 33,000,000

Equity 45%

Debt 55% The Bank of Punjab

Department of Commerce 18

Page 19: Mineral Water

Pakiza Mineral Water Name of Bank The Bank Of Punjab

Amount of loan 18,150,000

Rate Of Interest 16%per Annuam

Period Of Loan 5 Years 360Repayment of Interest Quarterly InstallmentRepayment of Installment Half YearlyDate of Disbursement of Loan 3/31/2010Completion of the Project 31/12/2010Date of Commercial Production 31/3/2011Date of Repayment of principle 30/6/2011 6 Installment  No of Principle Amount Total Outstanding

Due Dates DaysInstallment of Interest

Installment Principle

3/31/2010 0 0 0 - 18,150,00

0

6/30/2010 9

1 0 734,

067 734,06

7 18,150,00

0

9/30/2010 92 0

742,133

742,133

18,150,000

12/31/2010 92 0

742,133

742,133

18,150,000

3/31/2011 90 0

726,000

726,000

18,150,000

6/30/2011 91

1,815,000

734,067

2,549,067

16,335,000

9/30/2011 92  

667,920

667,920

16,335,000

12/31/2011 92

1,815,000

667,920

2,482,920

14,520,000

3/31/2012 91

-

587,253

587,253

14,520,000

6/30/2012 91

1,815,000

587,253

2,402,253

12,705,000

9/30/2012 92

-

519,493

519,493

12,705,000

12/31/2012 92

1,815,000

519,493

2,334,493

10,890,000

3/31/2013 90

-

435,600

435,600

10,890,000

6/30/2013 91

1,815,000

440,440

2,255,440

9,075,000

9/30/2013 92

-

371,067

371,067

9,075,000

12/31/2013 92

1,815,000

371,067

2,186,067

7,260,000

3/31/2014 290, 290,40 7,260,00

Department of Commerce 19

Page 20: Mineral Water

Pakiza Mineral Water 90 - 400 0 0

6/30/2014 91

1,815,000

293,627

2,108,627

5,445,000

9/30/2014 92

-

222,640

222,640

5,445,000

12/31/2014 92

1,815,000

222,640

2,037,640

3,630,000

3/31/2015 90

-

145,200

145,200

3,630,000

6/30/2015 91

1,815,000

146,813

1,961,813

1,815,000

9/30/2015 92

-

74,213

74,213

1,815,000

12/31/2015 92

1,815,000

74,213

1,889,213

 Total 18,150,0

00 10,315,

653 28,465,65

3

Intrest during Construction

from 3/31/2010 to 3/31/2011 2,944,33

3

2011 2012 2013 2014 2015

Interest 734,067

2,510,347

1,915,027

1,326,160

737,293

Instalments 1,815,000

3,630,000

3,630,000

3,630,000

3,630,000

ALLIED ENGINEERING & SERVICES LIMITED 44-Qasim Road, Imperial Cinema Building, Multan, Pakistan

Cost of building and civil works

Factory Building Area Sq ft

Rate per Sq ft Cost

Office 1,088 979,200

Department of Commerce 20

Page 21: Mineral Water

Pakiza Mineral Water 900

Bottle storage room 816 900 734,400

washing and mineral filter room 2,176

900 1,958,400

packaging and labling 300 900 270,000

Finished Product Storage Room 1,456

900 1,310,400

labs 544 900 489,600

Total 6,380 5,742,000

Furnishing 500,000

Total 6,380 6,242,000 

\

Heavens Drops Co. Lahore

Muhammad IftikharCell # 03004233786 Website: www.heaven drops co.com

Department of Commerce 21

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Pakiza Mineral Water

Department of Commerce 22

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Pakiza Mineral Water

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Pakiza Mineral Water

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Pakiza Mineral Water

Implementation Schedule

Sr.No. Activities Month Year

1 Engineering studies and designing of civil works: 2010

2 Start January 2010

3 complete February 2011

4 Construction of building and civil works: 2010

5 Start February 2010

6 Order for machinery March 2010

7 Order for local machinery Jun 2010

8 Arrival of local machinery at site September 2010

9 Order for raw material November 2010

10 Trial Runs: 2010

11 Start December 2010

12 complete January 2011

13 Start Commercial production January 2011

Department of Commerce 25

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Pakiza Mineral Water

Strengths:

Continuous availability & easy access of the raw material, which mainly

comprise mineral water..

Mineral water is necessary for health of human body

Availability of skilled and non skilled workers..

Latest technology’s more suit able for making a pure water with high

working efficiency and trouble free operations.

Easy availability of spare parts of mineral water machinery.

Own Research & Development department for new design creations.

Pakiza mineral water are available in market on low cost as compared to

other bottles such as nestle aqua fina kin lay etc .

WEAKNESSES:

Strict controls over the Labor efficiency need to be observed to reduce the

risk the minimum level

Heavy investment in the working capital

Mineral water demands depend on awareness of people .

Limited availability of protein sources of standard quality due to low or limited

production, processing technology, variable composition and adulteration.

Department of Commerce 26

Page 27: Mineral Water

Pakiza Mineral Water

OPPORTUNITIES:

The demand for mineral water remains alive and can’t end.

Increasing preference for the high quality of mineral water is increasing

time to time.

The market for purified bottled / mineral water is a growing market, but offers

tough competition

Pre-launch advertising is vital for positive perception of the product, which result

in high product acceptance .

THREATS:

If the quality of mineral water is not up to standard then new brand

can easily enter in the market .

Strict internal control and quality control procedures required.

Established competitors such as kinley and other local brands in

RYK ..

Promotional activities are required for this industry.

Compliance of the water quality standards of Pakistan Standards & Quality Control

Authority (PSQCA) and license from the authority.

Department of Commerce 27

Page 28: Mineral Water

Pakiza Mineral Water

There are around 26 players in the bottled water sector. According to the industry sources, the number of bottlers scales up well above 70 during summer season due to increased demand for drinking water. However, the much publicized laboratory report published by the Pakistan Council of Research on Water Resources (PCRWR)after conducting a survey of 26 brands in the Rawalpindi and Islamabad region declaring that, all the 26 brands available on the market are contaminated while 10 out of them are unsafe for drinking, forced the Pakistan Standards & Quality Control Authority (PSQCA) to make it obligatory for the companies to obtain license fromthe authority before commencing operations.

Department of Commerce 28

Page 29: Mineral Water

Pakiza Mineral Water

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Page 30: Mineral Water

Pakiza Mineral Water

Branding and marketing of bottled water is as essential as water for the survival of the human body. The traditional marketing tools include site advertisement, TV andprint media advertising and brochures. This study allocates 10% of the revenue for advertising and promotional purposes.Apart from the traditional marketing tools, this study suggests to focus more on other marketing magnets that include interactive marketing, interactive marketing may include educating the general public about the importance of water and its daily consumption requirements for human body through the participation in seminars and in general public gatherings (e.g. College and University gatherings). One of the marketing options is to sponsor public events like cricket matches or hospital campaigns, distributing free brochures about water and its daily consumption, water requirements in different age brackets. The interactive marketing may be designed through seminars and workshops about the daily human consumption requirements and diseases originating from the lack of pure water.Overall marketing strategy may change with the change of target market. A market research study is recommended to design the different dynamics of marketing before launching the new brand.

. Following table gives the breakup of the marketing expense.

TV Advertisement SITE Advertisement Newspapers MagazinesPoint of Sales Marketing.

Department of Commerce 30

Page 31: Mineral Water

Pakiza Mineral Water

Major machinery of pakiza mineral water Company brought from Germany. But we have also

acquired the local machinery which is easily available and economical in Pakistan.

Sr.# Name of Machinery Qty

1 Pump 02

2 Storage Tank 0 2

3 Sand filter 01

4 Jumbo Filter 02

5 Carbon Filter 01

6 Reverse Osmosis 01

7 Mineralization 01

8 Ozonation 01

9 Filtration 0110

Ultra Violet 01

11 Filling Machine 02

12 Generator 01

Department of Commerce 31

Page 32: Mineral Water

Pakiza Mineral Water

The first step for setting up a water purification plant is the analysis of source of water. After the chemical analysis, the specifications of the purification plant are set. In the purification plant, source water is stored in the feed water tank, passes through the sand filter for preliminary water filtration. Water then passes through the dosing pump-I where chlorine is added to kill the germs in the water. After the chlorination, water passes through carbon filter. It helps in the maintenance of proper odour and taste of the water. It also removes chlorine from water. Water is then passes from dosing pump-II, where Sodium Meta Bisulphate is added. It helps in dechlorination of water. Water is filtered next and passes through dosing pump-III, where anti scallant is added. It prevents scaling of membrane from calcium, magnesium and biological growth. Water then passes through reverse osmosis module. This stage of the process makes water clear from all the contaminations and minute particles.Water then passes through dosing pump-IV, where minerals are added for taste development. After this stage, water undergoes Ultra Violet treatment to avoid any contamination from bacteria and other micro organisms. Water then passes through automatic washing, filling and capping plant. Here water is filled into bottles. After filling bottles are taken into the warehouse or shipped to the retailers. The complete process flow diagram is as under.

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Pakiza Mineral Water

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Pakiza Mineral Water

 Sr.No.  Types of Staff

 Numbers Required

 Basic Salary Per Month

 Total Salaries for the Year

1Admin&acc manager 1 30000 360000

2 Supervisor 1 15000 1800003 Shift Incharge 2 12000 288000

4Machine Operator 2 10000 240000

5 Lab assistant 1 10000 1200006 Filler 2 6000 1440007 Electrician 1 6000 720008 Driver 2 5000 1200009 Sweeper 1 4000 48000

10 Security Guard 2 6000 144000

  TOTAL 14  1716000

B. Administrative and General Staff

Sr No . Basic Salary Per Month

Total Salaries for the Year

1Quality cont.manager 1 35000 420000

2 Accountant 1 15000 1800003 Office Boy 1 4000 48000

C. Sales Staff1 Sales Representative 2 10000 2400002 Advertising     1000003 Helper 2 6000 144000

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Pakiza Mineral Water

Estimated Financial Statements

ANNEXURE - II

PAKIZA MINERAL WATER Income Statement

For the Year ended 2011 2012 2013operating efficiency assumed     Rs. Rs. Rs.

Sales 100,018,800

127,008,000

157,172,400

Cost of good Sold:.      

Raw material consumed 81,648,000

103,680,000

128,304,000

Labour 2,574,000

2,831,400

3,114,540

Manufacturing expense 966,000

1,062,600

1,168,860

Depreciation 1,913,400

1,913,400

1,913,400

Cost of good Sold 87,101,400

109,487,400

134,500,800

Gross Profit 12,917,400

17,520,600

22,671,600

Operating Expenses      

General and Admin. Expenses 972,000

1,069,200

1,176,120

Selling Expenses

726,000

798,600

878,460

Total Operating Expenses 1,698,000

1,867,800

2,054,580

Operating Profit 11,219,400

15,652,800

20,617,020

Non-Operating Expenses      

Financial Exp. 734,067

2,510,347

1,915,027

Amortization of preproduction exp. 180,675

180,675

180,675

Workers Welfare Fund (2%) 224,388

313,056

412,340

Total Non-operating Exp. 1,139,130

3,004,078

2,508,042

Department of Commerce 35

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Pakiza Mineral Water

Profit before Tax 10,080,270

12,648,722

18,108,978

Tax 4,032,108

5,059,489

7,243,591

Net Profit after Tax 6,048,162

7,589,233

10,865,387

Retained Earning 3,628,897.32

4,553,540.04

6,519,232.06

Calculation of Ratios

- Gross Margin (%)   12.91% 13.79% 14.42%- Operating Margin (%) 11.22% 12.32% 13.12%- Net Margin (%)   6.05% 5.98% 6.91%

ANNEXURE – IV

PAKIZA MINERAL WATER

PROJECTED CASH FLOW

For the Year Ended 2010 2011 2012 2013

Rs. Rs. Rs, Rs.

Department of Commerce 36

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Pakiza Mineral Water Sources

Operating Profit 0 11,219,400

15,652,800

20,617,020

Add:Dep. & Amort. 0

2,094,075

2,094,075 2,094,075

Equity 14,850,000

Other SourcesLong Term Loans

18,150,000

Total 33,000,000

13,313,475

17,746,875

22,711,095

Uses

Fixed Asset 27,112,279

Pre-Production Exp.

903,375

Long Term Loans 0

1,815,000

3,630,000 3,630,000

Re-Payment of:.

Financial Exp. 0 734,067

2,510,347 1,915,027

Tax Paid 0 4032108 5059488.933 7243591.173

Profit Distribute 0 2,419,265

6,830,310 9,778,848

Inc/(dec) in Current asset 0 0 0 0

Total 28,015,654

9,000,440

18,030,146

22,567,466

Net Cash Inflow/(Outflow) 4,984,346

4,313,035

(283,271) 143,629

Balance Opening 0 4,984,346

9,297,381 9,014,111

Balance Closing 4,984,346

9,297,381

9,014,111 9,157,740

Cost of Sales Schedule

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Pakiza Mineral Water

Sale year 1 year 2 year 3total production capacity

100% production 70% 80% 90%

 total production capacity

10,800,000

7,560,000

8,640,000

9,720,000

(at70%) production 1.5 Lit   5,292,0

00 6,912,0

00 8,748,0

00

 Sale price per bottle @Rs.13

15

79,380,000

103,680,000

131,220,000

30% Production 0.5 Lit   2,268,0

00 2,592,0

00 2,916,0

00

 Sale price per bottle @Rs.10

10

22,680,000

25,920,000

29,160,000

  Total Sales   102,060,0

00 129,600,

000 160,380,0

00

  Less Sale Bonus 2.00% 2,041,2

00 2,592,0

00 3,207,6

00

  Net Sale   100,018,8

00 127,008,

000 157,172,4

00

KEY ASSUMPTION

Land in canal     4

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Pakiza Mineral Water Working Days in year       360 Shift Operational       2 Hours per Shift    

  8

Initial Year capacity utilization    

  70%

cost of registration     6.00% cost of land per canal     1200000 legal expense     50000 Rate per Square ft building Rs.   900 depreciation rate     10% tax annually     40% increase in sale annually     10% increase in direct cost & expenses

    110%

Debt portion     55% Equity portion     44% Distributable profit to all partners

    90%

retained earning     10.0% total production per day lit     30000 100.0% our total production per day lit  

  21000 70.0%

price per 1.5 liter  Rs.   12 price per 0.5 liter    Rs.   08 months in a year     12 days in a month     30 fuel utilization   liter per hr 20 daily fuel used   liter 600 monthly fuel consumption   liter 18000 yearly fuel consumption     216000 fuel per liter     65

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Pakiza Mineral Water

During the visit of Okara Research center for Livestock (Highlights)

Observing the Raw Material

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Pakiza Mineral Water Observing the Machinery at site with workers

Observing the process of mineral water machinery

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Pakiza Mineral Water Observing of Finished Product

Getting the information of mineral water plant

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Pakiza Mineral Water

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Pakiza Mineral Water

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Pakiza Mineral Water

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Pakiza Mineral Water

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