bank loan

Object Required:

Components of Project Report

Principle:

PROJECT COST AND MEANS OF FINANCE

Theory:

Project Profile on Bakery Products Introduction The bakery industry plays an important role in industrial activities of food processing industry in the country. In the modern times,it provides nutritious food to go large number of households in cities. The indian Bakery sector consists of some of the foods like cakes, breads, buiscuts, and chips etc..Since the development of new food technology, a variety of products are prepared in the Bakery. Promoter: The promoter of the unit is well experienced in manufacturing and marketing bakery products. He can manage the whole unit successfully using his good social contacts and great managing power. Location of the unit: The promoter proposes to start the unit in free hold building i.in Thrissur District. The location is well suited for the proposed activity and all infrastructure facilities are available. Market potential: Now a days, Bakery products are an item of mass consumption. In view of its low price and with rapid growth and changing eating habits of people, bakery products have gained popularity among masses of the sector overall. The growth rate of bakery products has been tremendous in both urban and rural areas. Increased number of working women, Change in Indian meal pattern, increased income, urbanization etc., has increased the demand for bakery products. Quality control & standard: Strict quality control norms and hygienic conditions as per Health regulations will have to be maintained at every stage in the production process. All ingredients used and expiry date will have to be clearly spelt out on each packed snack food. Manufacturing process: Mixing of ingredients except flour in required proportion in paste form. Preparation of dough by mixing with flour. Placing dough in moulding and cutting machine Frying cooling& packing Cakes: To make cakes, wheat flour and baking powder along with cream, sugar and ghee is mixed thoroughly till it becomes fluffy. Then mixture of beaten eggs is added to it along with caramel colour and chopped fruits before the mixture are poured into cake pans and baked for around 30- 40 minutes. Raw Materials: The major raw material required is flour, maida, etc .Other items are yeast, sugar, ghee, milk powder, salt, edible colour and flavours. All the materials are locally available. Cost of the Project Particulars Amount Land Owned Building Owned Machinery 3,50,000.00 Working capital 1,86,000.00 TOTAL 5,36,000.00 MEANS OF FINANCE Particulars Amount Promoters Contribution 89,700.00 Term Loan From Bank 2,97,500.00 Working Capital Loan from Bank 1,49,000.00 Total 5,36,000.00 WORKING CAPITAL REQUIREMENTS Sl.No. Item Period Amount(Rs) 1 Stock of raw material 25 days 81,750.00 2 Work in process 2 days 6,540.00 3 Stock of finished goods 3days 9,810.00 4 Receivable 15 days 49,050.00 5 Working expense 30 days 39,150.00 Total 1,86,300.00 rounded to 1,86,000.00 PRODUCTION AND SALES AT 60% CAPACITY(MONTH) No. Item Quantity unit rate Amount 1 Fried Chips 100 kg 75 7,500.00 2 Pakka Vada, Mixture, Sweet fry etc 70 kg 70 4,900.00 3 Cake of different types 150 kg 300 45,000.00 4 Puffs Cuttlet Samosa 15000 Nos. 5 75,000.00 5 Other food items 7500 Nos 5 37,500.00 Total 1,69,900.00 COST OF PRODUCTION AND PROFITABILITY ANALYSIS Particulars 1st Year No. of working days 300 No.of shifts 1 Installed Capacity BREAK EVEN ANALYSIS Sales 20,38,800.00 Variable cost 14,14,660.00 Contribution 6,24,140.00 Fixed cost 1,41,920.00 BEP (%) 23 % CONCLUSION On examining the technical aspects like availability of raw materials,


Conclusion:

CONCLUSION From the forgoing pages and the financial information sated in the subsequent pages, it can be seen that the project can generate sufficient funds to meet its financial commitments and to share an adequate return to the promoters. Thus, the project is technically feasible, economically viable and financially sound and hence it warrants a favorable consideration by the financial institution

Published Date:

2018-06-11 22:14:00

ABHISHEK ANAND, MBA Program

                   

E: 405/2015-CO/L | M: 406/2015-CO/L

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