project feasibility report

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CONTENTS 1. COMPANY PROFILE 2. MARKET RESEARCH 3. MANUFACTURING PROCESS &TYPES OF CANDLE 4. RAW MATERIAL & EQUIPMENT 5. MARKETING & SALES 6.CONCLUSION 1

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PROJECT FEASIBILITY REPORT

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Page 1: Project Feasibility Report

CONTENTS

1. COMPANY PROFILE

2. MARKET RESEARCH

3. MANUFACTURING PROCESS &TYPES OF CANDLE

4. RAW MATERIAL & EQUIPMENT

5. MARKETING & SALES

6. CONCLUSION

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Page 2: Project Feasibility Report

1. COMPANY PROFILE

Name of the unit:-K.V. Candles Pvt. Ltd

Location:- Plot No. 234, Shubam NagarKellkatalaiChennai

Constitution:- Partnership venture of two partners

Name of the partners:-S.KarthikeyanK.Vinoth Kumar

Product to be manufactured:-Wax Candle

Bank Loan Details:-Project Value: Rs. 3,00,000/-Loan Provider: Tamilnadu Indutrial Investment Corporation

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Page 3: Project Feasibility Report

2. MARKET RESEARCH

We have conducted the market research which has given us the result that there is

great demand for candles in rural as well as in urban markets due to frequent power

cut in urban areas. Yet the candle has survived due to specific uses it is put to viz;

in churches as a religious relic, an essential item at birthday ceremonies, to melt

the sealing wax used to seal locks of factory go down etc. Now days candle is used

for decoration in hotels and restaurant it is used in house as showpiece.

Apart from the above said uses the candles are the most required one during the

power failure or the power shut down for maintenance. During this kind of

situation candles are required in more numbers. In Tamil Nadu during the past 5 to

10 years there is a shortage of electricity for which wealthier people go for using

inverter by which it cannot be accompanied by most people of the state. For those

people candle is the only source of light during power failure.

In Tamil Nadu demand for candle has increased consistently and frequently

required in more quantities which is not available now. So creating small scale

industry on the front of candle manufacturing would be more profitable during.

Hence we opted to develop a small scale unit of manufacturing candles.

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Page 4: Project Feasibility Report

3. MANUFACTURING PROCESS& TYPES OF CANDLE

For hundreds of years the basic "art" of hand pouring candles remained relatively

unchanged. In simple terms making a candle involved melting wax, coloring,

scenting and pouring into molds. Along the way, gradual changes were made in

the process and in the industry such as pouring into glass containers,

development of new types of molds and even pouring wax into sand to make

candles.

In our estimation, more changes have occurred in the hand pouring of candles in

past number of years than the previous 100 years. Companies and individuals can

now "accessorize" their operation to make the process of hand pouring much

easier.

Several of the early developments, which may not have been considered

revolutionary at the time, have made life easier for the candle maker. Two

examples include the pre-wick assembly and "blended waxes."

The pre-wick assembly has made life much easier for companies of all sizes when

making votives and container candles. Having the wick waxed, cut and a tab

placed on it accuser

TYPES OF CANDLE

The candle are made in variety of designs depending upon the die used for

manufacturing the candle. Some of the types of candles are listed below.

1. Cross Candle

2. Devotional Candle

3. Figure Candle

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Page 5: Project Feasibility Report

4. Creepy Candle

5. Different Shaped Candle

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Page 6: Project Feasibility Report

4. RAW MATERIAL&EQUIPMENT

1. Hard paraffin wax2. Satiric acid3. Hydrogenated vegetable oil4. Perfume5. Color

Wax Melting Machine:-

The foremost equipment is wax melting machine.

Molding machine & Molds:-

These consist of two metallic blocks which when jointed together for a row vertical

moulds. The melted wax is poured in to moulds in which the wicks are first set in

the inside of the moulds cavities are smeared with little mineral oil like liquid

paraffin, kerosene etc. or any vegetable oil to prevent sticking of the candles

facilitating their easy removal . The moulds made of aluminum, bronze, rubber etc.

Materials&Equipment Price(Rs.) Quantity

Hard paraffin wax 250 per kg 50 to 100kg per day

Satiric acid 200 per litre 10 litres per day

Hydrogenated vegetable oil

100 per litre 10 litres per day

Perfume 150 per litre 5 litres or less

Color 100 per kg 5kg per day

Wick 50 per meter 100 meter per day

Wax Melting Machine 55,000per machine 2 Nos

Molding Machine 75,000per machine 2 Nos

Molds 500 to 800 per set 10 Nos in each type

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Page 7: Project Feasibility Report

Specifications:

Diameter of candle Height of candle No. of pieces at one time

10mm 190.5 30010.5mm 190.5mm 28411mm 215.9mm 24012mm 215.9mm 20014mm 215.9mm 18415mm 241.3mm 16016mm 241.3mm 16017mm 241.3mm 14419mm 266.7mm 12021mm 266.7mm 9623mm 292.1mm 8424mm 292.1mm 7225mm 304.8mm 60

5. MARKETIING & SALES

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Page 8: Project Feasibility Report

Now days the popularity of candles is increasing because of candles is increasing because of changing life style of people. People are not only use candles for lightening purpose but also for decoration purpose and in hotels for candles light dinner. So our target market is local hotels & restaurants churches candles are still using for power failure.

We produce our product as per customer as per customer demand .we have our own transport facility because of that customer get. Product at lower price than other so our product demand increasing day by day.

The products can be sold from the range of Rs. 2 to Rs. 20/- depending upon the size of the candle that is sold. The annual turnover can range from Rs.5 lakhs to Rs.10 lakhs depending on the sales and marketing strategy

6. CONCLUSION

When we establish our company market our first product is normal white candles after the success of those candles. Now we are launching perfumed candles. If we get good response from customer we planning for launch the new product that is colour flame candles.

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