pani s

Upload: 9989dhaval

Post on 10-Apr-2018

217 views

Category:

Documents


0 download

TRANSCRIPT

  • 8/8/2019 Pani s

    1/38

    A P R O D U C T P R O J E C T R E P O R TO N P A N I S I L V E R F O I L S

    Submitted to R.P.Bhalodia CollegeIn partfulfilment of Third Year B.B.A

    2008-2009

    Submitted by Miss Hima BhojaniR.P.Bhalodia College

    Roll no: - 05Saurashtra University

    Rajkot

    Guided by: - MR. Jay Patel

    1

  • 8/8/2019 Pani s

    2/38

    DECLARATION

    I am the student of third year B.B.A in R.P.Bhalodia College situated at Rajkot. Here, I

    declare that the project work presented in this document is worked out under the

    supervision of Mr. Jay Patel is not submitted to any other university for any examination.

    Date:Place: Rajkot

    Bhojani Hima R.

    2

  • 8/8/2019 Pani s

    3/38

    ACKNOWLEDGEMENT

    PREFACE

    I am the student of Management faculty studying in the pellucid path of management in

    third year B.B.A. in R.P.Bhalodia College.

    Practical training pivotal role in the development of the management student. This

    training not only imports a practical approach but also through such training, one can

    easily grip the theoritical principles of the syllabus as well as relevant topics.

    The objective of practical studies in the form of product project report is to give a

    perspective about the organization and functioning of the following area of management

    in a particular product of an industrial unit. During this practical study, students learn and

    get practical knowledge, which is not given in classroom.

    The aim of this programme is to develop not only gives theoretical knowledge but also to

    give and improve skill in every students, which is helpful to them in every field in their

    future.

    I have taken my project report on particular product i.e. SILVER FOILS. It is my

    pleasure to perform the project work. This project report and has expanded my horizon of

    knowledge in vital for any student in management level studies. Only the basic

    understanding of the principles of management is not sufficient but their application is

    also equally important. Practical studies have been made compulsory for the student of

    B.B.A.

    All information furnished here in are correct and true according to me and sincerely

    apologize if any incorrect data.

    HEEMAPlace: Rajkot

    3

  • 8/8/2019 Pani s

    4/38

  • 8/8/2019 Pani s

    5/38

    INDEX

    Sr.No.

    Particular Page No.1. Introduction to S.S.I. 062. Project at a glance 073. Bio-data of Partners 084. Location of justification 105. Portrait of products 136. Details of Raw-Material 147. Production Process 168. Basis and Presumption 18

    9. Implementation Schedule 1910. Organization Structure 2011. Marketing Exercise 2112. Fixed Cost 2613. Staff and Labour 2714. Other Expenses 2815. Total Working Capital 2916. Sources of Finance 3017. Fixed Assets 31

    18. Cost of Production 3419. Profitability Analysis 3520. Trading Account 3621. Profit and Loss Account 3722. Balance-Sheet 3823. Computation of Ratio 3924. Risk-factors 4025. Future Prospectus 4126. List of Suppliers 4227. Conclusion 43

    5

  • 8/8/2019 Pani s

    6/38

    INTRODUCTION TO S.S.I .

    Small Scale Industry has place of pride in our economy. It is the base for medium and

    large scale industry helps in earning foreign exchange, helps generating employment

    opportunities and many more benefits are available to the economy.

    Hence, the government has introduce the Small and Medium Enterprise Development the

    Small Medium Enterprise Development Bill 205 in the lok sabha, seeking to enhance the

    investment cap for small scale units from Rs. 1croro to Rs. 5 crores The bill aims to

    consolidate the laws governing small and medium enterprises. It also seeks to extend progressive credit facilities to SMEs in line with to guidelines laid out by the the RBI.

    In a move to enable small enterprise to grow the bill provides that more that than 50

    employees can be freed from the purview of labour laws including the Employers

    Liability Act, 1938.

    This report is made within the boundaries of S.S.I. with the intense to acquaint the

    student with the functions of entrepreneur.

    6

  • 8/8/2019 Pani s

    7/38

    And H.R.O.

    Role in unit:

    ManagingAccounting& Finance.

    PROJECT AT GLANCE

    Name of the units : PANI Silver foils

    Address for Communication : Star shopping center,16-17 New Jagnath,Shop No.16,Dr. Yagnik Road,Rajkot.

    Type of the unit : Partnership Firm

    Location of the unit : Shanti-Dham Society,Rajkot Gondal Highway,Veraval Shapar,Rajkot.

    Name of Product : Silver foils

    S.S.I Registration NO. : Applied for

    Partners Name : Bhojani HimaBhojani Hiral

    Brand Name : PANDADI

    Bankers : ICICI Bank, Rajkot.

    BIO-DATA FOR PARTNERS

    Partner-1

    Name : Bhojani Hima

    Address : R.P. Bhojani,Rameshwar society,Ravapar Road,B/H Narsang HillMorvi

    Educational Qualification : B.B.A. & M.B.A.

    Age : 24 years

    Experience : 2 years

    Finance contribution : 30%

    Present Agency : Management with study for further Development and Practice for M.B.A.

    Role in unit : Managing, Finance, Marketing, Production

    Partner-2

    Name : Bhojani Hiral

    Address : Aish, Block No. 161,First Floor,B/H Raiya Tel. Exch.

    150 Feet Ring Road,

    Rajkot.Educational Qualification : M.C.A.

    Age : 25 years

    Experience : 2 years

    Finance contribution : 30%

    Present Agency : Management & Teaching

    7

  • 8/8/2019 Pani s

    8/38

    LOCATION JUSTIFICATION

    In recent the concept of industrial location has received much importance and closer

    attention for any newly started manufacturing business. Location of any industry plays a

    dominant role in success for failure of the company.

    Only best selected location on one side can earn variety of benefit and any mistake in

    selection of location on the other side can result into a great loss. Therefore before

    selection of the plant location promoters have to check the various alternative locations in

    terms of loss contribution and environment too.

    Availability of Raw-materials:-

    All the required raw-material is easily available locally at market rate of preparing silver

    foils at proposed location.

    Proximity to the Market:-

    Proximity to the market means nearness to the market. From marketing point of view we

    have very enrich and expanding market for our products.

    We have selected our location on Veraval shaper. Rajkot, where the penetration of silver

    product is less or nil and competitors of silver foils in Rajkot. So, we have a very good

    market as Rajkot is the centre for Saurashtra and a highly developing city. Dairy, Saree

    Beats or Tobacco as well as Hotels are also consuming the silver foils. So, the laege and

    beneficial potential is found out.

    8

  • 8/8/2019 Pani s

    9/38

    Availability of Man- Power:-

    As one had truly said one plus makes an Organization whether there are two or more

    persons comes together to work with co-ordination. Some prefers to work independently

    but majority of all work engage him with are another out of them with it. He was formal

    relation while with others not.

    Person is the heart of the any Organization. We can increases productivity and efficiency

    through care of worker. Any activity can not be performed in the absence of the

    manpower.

    Availability of Manufacturing services:-

    To provide material of specified quality others need at the lowest possible overall cost to

    the company. To process of silver foils required electricity, Electricity is easily availablefrom the locally at market and economic rate. Machinery and equipments are buying

    from other state.

    Transportation Facilities:-

    By selecting Plant location for silver foils will be beneficial more for transportation mode

    rate and way we wont have our own transportation vehicles, the distribution of silver foils will be carried through transportation contract will private companies. Which are

    easily available at economic rate?

    9

  • 8/8/2019 Pani s

    10/38

    Personal factory:-

    We have selected this unit because of above all reasons and in addition, our personal

    influence for the selection as we want to develop this area by anyway if we can society,

    the society in our earlier stage of business.

    Other Ancillary services:-

    Other ancillary Services like banking, insurance, technically assistance, warehousing, etc.

    are easily available at feasible rate.

    Thus veiling all phases of the location, it seems to be most appropriate location for the

    firm so we considered it as very favorable and ideal location for us.

    10

  • 8/8/2019 Pani s

    11/38

    PORTRAIT OF PRODUCTS

    Silver as a metal has a very high ductile and malleable properties. By mechanical means

    silver foils can be manufactured. These silver foils are used as a final covering on various

    sheets and commonly called as werk in local dialects. For many centuries too these

    silver foils of course in measured quantities were used in various Ayurvedic medical

    preparations and are in great demand. They are also laminated on betel leaves (paan) for

    chewing, to add an air of honour and status. Slightly thicker sections are used widely in

    electrical industries and as oblations for worshiping the idols. Thin and longer sections

    are also used for zari work on sarees. It is also used for making beats of balls.

    11

  • 8/8/2019 Pani s

    12/38

    DETAILS OF RAW-MATERIALS

    The raw-materials required by small-scale units may broadly be classified as under:

    Raw material component and spares, both indigenous and imported;

    Non-ferrous materials. both indigenous and imported;

    Iron and steel. both indigenous and imported;

    Chemicals. both indigenous and imported;

    Under the liberalized scheme, the actual users are provided with adequate foreign

    exchange to meet their justifiable requirements of imported items of industrial materials.

    The priority industries are assured of an adequate supply to the extent of their

    requirements by way of grant of rational licenses.

    For silver foils industry, required various raw-materials for producing foils. The raw-

    materials i.e. silver metal, tracing paper, cardboard boxes, graphite flux polishing

    materials, etc. Silver metal, tracing paper and cardboard boxes are producing in our own

    industry and graphite flux polishing materials are buying from other industry.

    12

  • 8/8/2019 Pani s

    13/38

    Raw- Materials per month:-

    Sr

    No.

    Raw-Materials Ind. Qty. Rate Amount

    1 Silver Metal Ind. 60Kg. 19,000/-

    P.Kg.

    11,40,000

    2 Tracing Paper Ind. 10Kg. 40/-P.Kg 4003 Cardboard Boxes Ind. 200Nos. 30/-P.no. 6,0004 Graphite flux Polishing

    Materials etc.

    - - - 15,000

    13

  • 8/8/2019 Pani s

    14/38

    Even through there may be most modern machinery equipped with energy efficient

    motors. This is a attitude of art technology specially suited to India conditions where

    human skill out class machine work thereby enabling the industry to fall within the

    ambit of the small scale sector.

    PRODUCTION PROCESS

    The silver bars are rolled to sheets by rolling process first. The sheets are then cut into

    adequate length and widths by hand level share and then fed continuously over sheetrolling machines which are hand operated. After abut 6-8 passes of about 25%

    reduction in each pass when the thickness reached about 0.28 mm (32.3), they are

    removed and put on swaging and penting operations. They are then beaten/ hammered

    manually very skillfully by wooden hammers till the final foils of about 6*6 (l*b)

    400-500 microns thickness are reached. They are then set in between tracing papers

    and then packed for dispatch.

    Since there are no standard specifications for this product, only care has to be taken for

    smooth finish and desired thickness achievements.

    Since no pollution or polluting atmospheres are generated there is no necessity for

    pollution control equipments.

    14

  • 8/8/2019 Pani s

    15/38

    PRODUCTION PROCESS CHART:-

    Rolling Process

    Cut into Adequate l&W.

    Fed Continuously

    6-8 Passes (0.28mm thickness)

    Swaging & panting operations

    Beaten/Hammered

    Final Foils (6*6) (400-500 microns thickness)

    Set in between tracing papers.

    BASIS AND PRESUMPTION

    The profile has been prepared on single Shift basis of 2400 hours of working per

    year achieving near about full capacity utilization after five years of

    commencement of commercial production.

    The labour wages, cost of raw materials, cost of machinery, etc. are based on

    local market or region.

    Interest rate for fixed capital is taken at 19%. Further, since the raw material

    silver cost has to be borne by the entrepreneur himself for registering as S.S.I.

    unit the interest rate for raw material costs is taken as nil.

    Covered area of 250 Sq. Mtrs. is purchased of Rs. 3500 per. Sq. Mtrs. Is required.

    The margin money required is for plant, equipments and working capital

    15

  • 8/8/2019 Pani s

    16/38

    IMPLEMENTATION SCHEDULE

    The project can be successfully implemented within one year of concept provided

    adequate finance in time is available.

    Sr. No. Activity Time-Period1 Survey for collection of data in respect of demand, raw-

    material, including power and fuel, availability of technology, pollution control.

    2 Months

    2 Arrangement for margin money 1Month3 Preparation of project document and registration 1 Month4 Financial Assistance 2 Months5 Selection of site and Development of Land 2 Months6 Selection of Machines and Procurement 1 Month7 Selection of Raw-material and Procurement 8 months8 Recruitment of staff and Labour 15 Days9 Registration for S.S.I. 15 Days

    10 Trial Product 20 Days

    16

  • 8/8/2019 Pani s

    17/38

    ORGANIZATION STRUCTURE

    Organization means co-ordination of people. It is a way describing employees authority

    chart. It gives much information its employee.

    Organization is group of people working together co-operatively under authority towards

    achieving goals and objectives that mutually benefit the employees and the organization.

    PARTNERS

    Production& Marketing Manager Finance& Management Manager

    Supervisor Tele Marketing officer Auditors

    Workers Retailers

    Marketing exercise includes demand

    analysis, segmentation, pricing decision, distribution decision, positioning, analysis of

    MARKETING EXERCISE

    17

  • 8/8/2019 Pani s

    18/38

    competitors, promotion decision, etc, I n it. Above all the points are discussed in brief as

    under.

    Demand Analysis:-

    With increasing dependence on an ayurvedic system of medical treatment there exists a

    tremendous potential for this product. Further since sweets and (paan) betel leaf as well

    as beats consumption is one the increase, the scope of this product is very high. There

    also exists vast market in electrical industries, saree manufacturing and it or hear places

    of worship.

    Since there are not many registered small scale units and there is a big demand and

    supply gap, there exists a vast market potential for this product.

    18

  • 8/8/2019 Pani s

    19/38

    Segmentation:-

    Behavioral - Well awarded.

    Market Segmentation means the subdivision of market. It is the grouping of two or more

    Consumer or service in order that their grievance is better readdressed. It is a strategy of

    DIVIDE AND RULE

    The firm has adopted the policy of segmenting the market on the basis of following two

    ways:

    1) Area Basis.

    2) Product Basis.

    The market segmentation of silver foils may be classified as under:

    Geographical Segmentation:-

    As silver foils made mainly form the silver and pure materials having very price so theyare consumed the class people living very high prices so they are consumed Y the class

    people living in Kalawad road, Dr. Yagnik road, University road, Gondal road withspecial reference to Rajkot only and other region where the rich people or purchaser areliving.

    Demographic SegmentationAge - AllIncome - High earn.Social class - Higher, middle & upper class.Education - Higher educated & well awarded.

    19

  • 8/8/2019 Pani s

    20/38

    Cost plus Pricing.

    Pricing Decision:-

    A price plays a pivotal role in the regulation of the entire spectrum of economic activities.Particularly in small scale industries. A competitive economic system is essentially

    based on price mechanism. Prices serve as guide posts in

    Organizing Products.Fixing Standards (quality);The distribution of the product;Providing for economic maintenance and progress; andAdjusting consumption over short periods. In al business activities whether in the public or private, sector, large, medium or small scale sector, the selling processes influence the management to fix the price of the

    product to be sold.

    Objectives:-

    Reasonable stability.

    To ensure maximum production.

    Securing an increase in savings, investment and economic growth.

    Price fixation as a short term device.

    Influencing Factors:-

    Cost of Production.

    Cost of Raw-materials.

    Prevailing Demand.

    Competitors Price.

    Pricing Method:-

    20

  • 8/8/2019 Pani s

    21/38

    Competitive Advantage:-

    Distribution Decision:-

    In marketing goods produced by a small- scale industry, distribution channels, indicate

    routes or pathways through which goods and services flow, or move form production toconsumer or producer of raw material to a small- scale industry. The distribution of goods is the most important activity in the process of marketing. We

    can market institutions participating in the marketing activities in the movement or theflow of goods or services from the primary producer to ultimate consumer.A unit must

    choose whether to attempt extensive, selective or exclusive distribution or a combinationof all the three. The decision is taken after a careful analysis of the product, consumer

    preference, dealers, company objectives and policies, competition and other relevantfactors. The company must solve the conflict within the channels and bring its product

    profitability to the market.

    Channel:-

    Distributor Retailers End users.Hotels and RestaurantsWedding PlannersSaree Workers.

    Analysis of Competitors:-

    The main competitors of PANI Silver Foils are.

    P. Raval AgencyU. Mankda AgencyJigna Agency

    There are the many competitors providing silver foils, the concept of silver foils came onRajkot before many years. Therefore, there is not keen competition but obligopolisticmarket competition..

    Competitive strategy:-

    To complete with the existing competitors company will create awareness among the people that such kind of quality products are available.

    21

  • 8/8/2019 Pani s

    22/38

    The quality of the foils.

    Effective pricing policy.

    Efficient distribution channel.

    Sining.

    Promotion Decision:-

    Objectives:-Brand Awareness.

    Brand Preference.

    Brand Loyalty.

    Budget:-1) Rs. 30000 per Month.

    Tools:-

    Signboards.

    Hoardings.

    Printed Materials.Catalogs.

    Local Magazines.

    Other Materials of social Groups.

    22

  • 8/8/2019 Pani s

    23/38

    FIXED COST

    Sr. No. Particular value

    1 Depreciation on Building 2,10,0002 Depreciation on Machinery & Equipments 35,0253 Interest on Bank loan 2,58,8254 Interest on owned Capital 2,92,7985 Insurance etc. 20,0006 40% Salary & Wages 16,4007 40% other Expenses 11,400

    Total Fixed cost 8,44,448

    STAFF& LABOUR (Per Month)

    23

  • 8/8/2019 Pani s

    24/38

    Sr. No Particular Nos. Value

    1 Manger 1 10,000

    2 Store- Keeper 1 3,0003 Clerk- cum- Typist 1 2,5004 Peon- cum- Watchman 1 1,5005 Highly Skilled Workers 2 8,0006 Skilled Workers 4 16,000

    Total Staff& Labour 41,000

    UTILITIES (per month)

    Sr. No. Particular Value

    1 Electricity 10,0002 Water 2,000

    Total Utility 12,000

    OTHER EXPENSES (per month)

    24

  • 8/8/2019 Pani s

    25/38

    TOTAL WORKING CAPITAL

    Sr. No. Particular Value

    1 Staff& Labour 41,0002 Raw- Material 11,51,400

    Sr. No. particular Value

    1 Postage & Stationary 2,0002 Telephone &Advertisement 6,0003 Transport Charges 3,0004 Insurance, etc. 20,0005 Repairs & Maintenance 1,0006 Misc. Expenses 1,6007 Sales Expenses 1,400

    Total Expenses 35,000

    25

  • 8/8/2019 Pani s

    26/38

    3 Utility 12,0004 Other Expenses 35,000

    Total Working capital 12,39,400

    Total Working Capital for 3 Months:-=12, 39,400*3= 37, 18, 200

    Total Working Capital for 12 Months:-=12, 39,400*12= 1, 48, 72,800

    Sr. No. Particular Value

    1 Fixed Capital 16,33,5002 Working Capital [for 3 Months] 37,18,700

    Total Capital Investment 53,52,200

    SOURCES OF FINANCE

    Sr. No. particular Rate Value

    1 Owned Capital 60% 32,53,3202 Borrowed Capital

    [Loan from ICICI Bank]

    40% 21,56,880

    26

  • 8/8/2019 Pani s

    27/38

    Total Finance 53,92,200

    INTEREST ON CAPITAL

    Sr. No Particular Int. Rate value

    1 Owned Capital 9% 2,92,7982 Bank Loan 12% 2,58,825

    Total Interest 5,51,623

    SALES TURN OVER

    DEPRECIATION DETAIL

    Sr. No. Particular Value

    1 Sales

    [of 720 kg. of silver foils @ Rs. 25,000/- per

    kg.]

    1,80,00,000

    Total sales Turn - Over 1,80,00,000

    27

  • 8/8/2019 Pani s

    28/38

    Sr. No. Particular Rate Depreciation Net Value

    1 On Building [14,00,000] 15% 2,10,000 11,90,0002 On Machinery &

    Equipments [2,33,500]15% 35025 1,98,475

    Total Depreciation 2,45,025 13,88,475

    FIXED ASSETS (1) Land& Building:-

    Sr. No. Particular Value

    1 Land

    [250 Sq. Mtrs. Or Rs. 3500 per Sq. Mtrs.]

    8,75,000

    2 Building

    [150Sq. Mtrs. Working shed.]

    5,25,000

    Total Land & Building 14,00,000

    (2) Machinery & Equipments:-

    Sr. No. Particular Qty. Value

    28

  • 8/8/2019 Pani s

    29/38

    1 Sheet Rolling Machine

    Roller size 4* 21/2 Ft. Shift mounted

    with ball bearings, safely glands on gears

    and fly wheel with handle.

    1 No. 60,000

    2 Sheet Rolling Head

    Roller size 2 * 2. Fitted on a stand with

    direct handle on a roll.

    1 No. 33,000

    3 Motorized swaging and Beating Machine 2 No. 50,000

    4 Hand Lever Shears 2 No. 4,000

    5 Work Bench, vices wooden HammersMiscotools Fixtures

    - 4,000

    6 Typewriter and other office Equipments. - 60,000

    7 Electrification and installation charges @

    10% of cost of machines Equipments.

    - 22,500

    Total Machinery & Equipments:- 2,33,500

    (3) Total Fixed Assets:-

    Sr No. Particular Value

    1 Land & Building 14,00,0002 Machinery & Equipments 2,33,000

    Total Fixed Capital 16,33,500

    29

  • 8/8/2019 Pani s

    30/38

    COST OF PRODUCTION

    Sr. No. Particular Value

    1 Total recurring cost per year 1,47,94,8002 Depreciation on Building (15%) 2,10,0003 Depreciation on Machinery & Equipments (15%) 35,0254 Interest on Bank Loan 2,58,8255 Interest on Owned Capital 2,92,798

    30

  • 8/8/2019 Pani s

    31/38

    6 Interest on Total Capital Investment @10%

    Excluding Raw-Material (15%)

    3,21,434

    TOTAL COST OF PRODUCTION 1,59,12,882

    P = 6%

    PROFITABILITY ANALYSIS

    Particular Value

    Sales volume 1,80,00,000Less: Cost of Production 1,59,12,882

    Earning Before Interest & Tax 20,87,118Less: Interest on Capital 5,50,003

    Earning Before Tax 15,37,115Less: Income Tax @ 35% 5,37,990

    Profit After Tax 9,99,125

    Profitability = Profit/Sales* 100

    = 999125/1, 80, 00,000*100

    = 5.55%

    31

  • 8/8/2019 Pani s

    32/38

    TRADING ACCOUNT

    PARTICULAR AMOUNTIN RS.

    PARTICULARS AMOUNTIN RS.

    Purchase

    - Electric- Water- Income Tax

    Gross Profit

    14,14 ,851

    10,0002,000

    5,37,99012,73,677

    Sales 180,000,00(Less)

    - 1,59,1288

    Raw Material

    20,87,118

    11,51,400

    32,38,518 32,38,518

    32

  • 8/8/2019 Pani s

    33/38

    PROFIT & LOSS ACCOUNT

    PARTICULAR AMOUNTIN RS

    PARTICULAR AMOUNTIN RS

    SalaryPostage& StationaryTelephone & AdvanceTransportInsuranceRepairs& MaintenanceBank Loan InterestShowroom ExpensesMisc. ExpensesDepreciations :--Land& Buildings 2,10,000

    - Machinery 35,025

    Other ExpensesNet Profit

    41,0002,0006,0003,000

    20,0001,000

    2,58,8251,4001,600

    2,45,025

    28,5009,99,125

    Gross ProfitSales of old News PapersInterest on CapitalRent ReceivedDiscounted received

    12,37,6771,0002,92,798

    20,00020,000

    16,07,475 16,07,475

    33

  • 8/8/2019 Pani s

    34/38

    BALANCE-SHEET

    Capitals & Liabilities AMOUNTIN RS.

    Assets AMOUNTIN RS.

    Capital 3253320+ Interest 292798+ Net Profit 999125

    Loan from ICICIWorking capitalSundry creditorsBank over draft

    45,45,243

    21,56,88012,39,400

    30,0005,000

    Land & Building 14,00,000(Less) Depreciation 2,10,000

    Machinery & Equipments2,33,500

    (less) Depreciation 35,025

    sundry DebtorsBank BalanceCash BalanceClosing stock

    11,90,000

    1,98,475

    35,00020,18,04825,00,00020,00,000

    79,41,523 79,41,523

    34

  • 8/8/2019 Pani s

    35/38

    = 71.37%

    Consumers will not

    be got much well aware

    about the products .

    COMPUTATION OF RATIOS

    Return of Investment: -

    ROI = Net Profit (before tax)/ Total Investment *100

    = 15, 37,115/, 53, 32,200*100 = 28.83%

    ROI = Net Profit (after Tax)/ total Investment *100

    = 9, 99,125/53, 32,200 *10= 18.74 %

    Net Profit Ratio:-

    NPR = Net Profit (before Tax)/ Sales *100

    = 15, 37,115/1, 80, 00,000 * 100= 8.54%

    NPR = Net Profit (after tax)/ sales *100

    = 9, 99,125 /1, 80, 00,000 *100= 5.55 %

    Return on Fixed Assets:-

    RFA = Profit (after tax) /Total Fixed Assets *100

    = 9, 99,125/14, 00,000*100

    RISK FACTORS

    For inception of any activity the risk factor is involved with itself. Risk factor is like

    living without being born. So, before starting any organization or unit the entrepreneurs

    have to keep in mind the weak as well as threatening feets of the firm.

    The risk factor involved with PANI Silver foils may as follow:

    The firm will have to face strong competition.

    The demand of the products may not be generated as predicted.

    The promoters of the firm are not much experienced in the field of silver foils.

    35

  • 8/8/2019 Pani s

    36/38

    .

    FUTURE PROSPECTS

    The modern world is fast growing. New Innovation of yesterday is old for today; it is a

    past and tomorrow is a present.

    The following are the future prospects or future plan of PANI Silver foils:-

    Expansion in existing market and cover the entire India.

    Development of various branches all over the India.

    To get more profit.

    36

  • 8/8/2019 Pani s

    37/38

    LIST OF SUPPLIERS

    (1) M/S. Gemini Iron & Brass factory.

    Opp. Forge & Blower,

    Naroda Road,

    Ahmedabad -380025

    (2) M/S. Ramesh Works.

    162, Rippon Street,

    Calcutta 10.

    (3) M/S. Ranjan Engg. Equipments.

    18, Raval street,

    Post Box No. 3182,

    Bombay.

    (4) Raw- Material

    Local Market.

    37

  • 8/8/2019 Pani s

    38/38

    CONCLUSION

    To end- up the discussion, since, the starting of the project with the

    selection of the Silver Foils for a new segment of consumers with the

    greater potentially.

    This is my pleasure to put this report before the University for launching

    the Silver Foils. As a promoter of this unit, I have made all the required

    efforts for the successful launching of all products. I hope that the silver

    foils will be success in the market and specially my brand PANI FOILS

    Govt. should support these kinds of small scale units to serve the public

    with qualitative foils. I also want to help in generation of employment

    opportunities and to raise standard of living.

    At last I am again very thankful to all the concerned people who helped

    me in preparing this report. This is also true for me as I thought my report

    could express my thoughts & researches for silver foils. It was a greatexperience that I might want to deal in future. Thats all it will be great

    opportunity for every student.