Introduction

The 'bamboo' also called poor man’s timber, is one of the most important forestry species having wide distribution throughout the country and has potential to make major contribution to the rural economy of India. Bamboo and Cane handicraft market in India is predominantly concentrated in the NorthEast and Easte rnregiono fthe country.The overall bambooproducts marketis segmented in two broader areas,namely traditional markets and emerging products market.Handicraft comes in the traditional products segment. In India nearly 19% of the total Bamboo produced goes for Handicraft production Bamboo and Cane craft market in India is estimated at INR 3,910 Crores in 2016,and estimated to grow at a CAGR of 12% during 2016-2021. The market is primarily driven by rising demand of eco-friendly products in India and several Government initiatives to back bamboo-based product industries. About a third of the total area of Tripura is covered by bamboo, and bamboo has emerged as a key thrust area for the state’s industrial development. Tripura, a state in northeast India, has at least 19–21 species of bamboo. It covers 3,246 km2 of the state, which is approximately 31% of the total area. Given its comparative advantage, bamboo has emerged as one of the key thrust areas for industrial development in Tripura after natural gas and rubber.India is the second only to China in Bamboo production and it is immensely popular in northeastern region. Bamboo is one of the most abundant and environmental-friendly and sustainable resources available in North East Region, which is not being used to its full potential.

Product / Services & process

The firm is presently constrained within purchasing of Handicrafts from Manufacturing Units (SHGs, individuals etc.) and Retailing & Wholesaling those through E-Commerce Website, Social Media Channels, & Physical Outlets.However, within a very short span, company is aiming towards launching training programs revolving around Craftsmanship, to incentivize Young & Educated People to enter the Bamboo Sector .In the long run, the company also has plans to extend business towards Bamboo Cultivation.

Market potential & Strategy

India is the second only to China in Bamboo production and it is immensely popular in northeastern region. Bamboo is one of the most abundant and environmental-friendly and sustainable resources available in North East Region, which is not being used to its full potential. North Eastern Himalayan region of India has great diversity of bamboo resources.India is the second only to China in Bamboo production and it is immensely popular in northeastern region. Bamboo is one of the most abundant and environmental-friendly and sustainable resources available in North East Region, which is not being used to its full potential. North Eastern Himalayan region of India has great diversity of bamboo resources.In India nearly 19% of the total Bamboo produced goes for Handicraft production Bamboo and Cane craft market in India is estimated at INR 3,910 Crores in 2016,and estimated to grow at a CAGR of 12% during 2016-2021. The market is primarily driven by rising demand of eco-friendly products in India and several Government initiatives to back bamboo-based product industries.

The Marketing of the Website, Social Media & Physical outlets will be carried this way:
Website: 60% of the total Marketing Budget
Social Media: 20% of the total Marketing Budget
Physical Branding: 20% of the total Marketing Budget

Marketing Expenses of Website: The allocated amount would be used in Advance SEO, PPC, Video Ads.Marketing Expenses of Social Media: The allocated amount would be used in Specific Product Marketing to targeted audience segment, somewhat into overall SMM of the website, & somewhat into marketing of social media handles. Latest Offers would also be majorly marketed over social media. On our Social Media Pages, we are aiming at, 1000 visits/day and expecting a 2% Conversion Rate (initially) i.e. 20 Orders a day.From our Physical Branding, we are expecting a chunk of 12-15 customer visits/day and expecting product purchase by 2-3 CustomersPhysical Branding: The allocated amount would be used for Creating Signages, Banners, Posters of products & company and would be displayed around the Outlet & high population areas of the State.Presently, our marketing plan is primarily serving the purpose of acquiring sales leads alongside Brand Awareness in the relevant regions around the globe.

Project at a glance

Name & Address of Unit

Bamboo Handicraft Shop

Address

Details of unit

Email	:	[email protected]
Phone	:	00000
Constitution	:	Proprietership
Total project cost	:	*******
Fixed Capital	:	*******
Working Capital	:	*******
Total Bank loan	:	*******
Promoter(s) contribution	:	*******
Term loan	:	*******

Name & address of promoter(s)

Name		: Your name
Address		: Address
Phone		: 000000
Designation		: Proprietor
E-mail		: [email protected]

Project Feasibility Ratios

Debt Service Coverage Ratio (Average)

:1.87

Current ratio (Average)

:2.63

	Year 1	Year 2	Year 3	Year 4	Year 5
Current ratio	1.53	2.06	2.62	3.19	3.76
Quick ratio	1.13	1.56	2.10	2.64	3.18
Interest coverage ratio	3.87	5.55	7.00	9.48	14.71
Debt equity ratio	2.863	2.080	1.528	1.020	0.542
TOL/TNW	3.02	1.45	0.79	0.43	0.21
DSCR	1.65	1.86	1.90	1.94	1.97
Gross profit Sales Percentage %	29.23 %	28.54 %	28.18 %	27.86 %	27.50 %
Net profit Sales Percentage %	10.84 %	10.56 %	11.10 %	11.57 %	11.90 %
BEP in % of installed capacity %	49.90 %	27.12 %	27.12 %	27.12 %	27.12 %
BEP in sales of Rs	2,620,800.00	1,840,695.65	1,972,173.91	2,103,652.17	2,235,130.43
Return On Capital Employed	0.26	0.34	0.34	0.33	0.33

Project Feasibility graph

Net profit Sales %

Quick ratio

Revenue v/s Expense

Expense Splitup

Project Cost

Sl. no	Item	Amount Rs
1	Building advance	*******
2	UPS and battery	*******
3	Stands and racks	*******
4	Computer tables and furnitures	*******
5	Computer & printer	*******
6	Electrification and Networking	*******
7	Preliminary expenses	*******
8	Training	*******
9	Advertising &publicity	*******
10	Working Capital	*******
	Total	*******

Working Capital Computation

Sl. no	Item	Amount Rs
1	Consumables / stock in hand	*******
2	Work in progress	*******
3	Finished goods	*******
4	Working expense.	*******
5	Receivables/Sundry debtors	*******
6	Payables	*******
7	Total working capital	*******
8	Own Contribution	*******

Annual Sales / Revenue

Sl. no	Item	Rate		Quantity	Unit	Total Rs
1	Wholesaling of Handicraft	*******	X	1140	Piece	*******
2	Retailing of Handicrafts through Social Media	*******	X	420	Number	*******
	Total					*******

Total Yearly Expense

Sl. no	Item	Amount Rs
1	Rent	*******
2	Salary	*******
3	Repairs & Maintanance	*******
4	Electricity	*******
5	Office expense & utilities	*******
6	Purchase of stock	*******
7	Other expenses	*******
8	Website management	*******
9	Marketing/Advertisement	*******
10	Travel/Internet charges	*******
11	Telephone charges	*******
	Total	*******

Application of Fund

Sl. no	Item	Subsidy %	No.	Rate	Amount Rs
1	Building advance	*******	1	*******	*******
2	UPS and battery	*******	1	*******	*******
3	Stands and racks	*******	1	*******	*******
4	Computer tables and furnitures	*******	1	*******	*******
5	Computer & printer	*******	1	*******	*******
6	Electrification and Networking	*******	1	*******	*******
7	Preliminary expenses	*******	1	*******	*******
8	Training	*******	1	*******	*******
9	Advertising &publicity	*******	1	*******	*******
	Total Investment				*******
	Total Subsidy				*******
	Net Investment				*******

Means of Finance

Sl. no	Item	Amount
1	Term Loan	*******
2	Working capital Loan	*******
3	Total loan	*******
4	Term Loan contribution	*******
5	Working capital contribution	*******

Profitability Statement

		Year 1(!*)	Year 2	Year 3	Year 4	Year 5
Revenue from operation
Sales	15.93	*****	*****	*****	*****	*****
Add :
Closing stock		*****	*****	*****	*****	*****
Total		*****	*****	*****	*****	*****
Less :
Opening stock		*****	*****	*****	*****	*****
Stock purchase	7.20	*****	*****	*****	*****	*****
Salary	3.60	*****	*****	*****	*****	*****
Repairs and maintenance charges	0.24	*****	*****	*****	*****	*****
gas	0.12	*****	*****	*****	*****	*****
ELECTRICITY bill	0.12	*****	*****	*****	*****	*****
Total		*****	*****	*****	*****	*****
Gross profit		*****	*****	*****	*****	*****
Less :
Rent	0.12	*****	*****	*****	*****	*****
Telephone/Postal &internet charge	0.12	*****	*****	*****	*****	*****
Total		*****	0*****	*****	*****	*****
Depreciation		*****	*****	*****	*****	*****
Interest on TL		*****	*****	*****	*****	*****
Interest on WC		*****	*****	*****	*****	*****
Total		*****	*****	*****	*****	*****
Profit before tax		*****	*****	*****	*****	*****
Income Tax		*****	*****	*****	*****	*****
Profit after tax		*****	*****	*****	*****	*****

Cash flow statement

Cash Inflow	Pre operative period	Year 1	Year 2	Year 3	Year 4	Year 5
Capital	0.63	*****	*****	*****	*****	*****
Subsidy	*****	*****	*****	*****	*****	*****
Termloan	*****	*****	*****	*****	*****	*****
Profit before tax with interest	*****	*****	*****	*****	*****	*****
Increase in WC loan	*****	*****	*****	*****	*****	*****
Depreciation	*****	*****	*****	*****	*****	*****
Increase in Current liability	*****	*****	*****	*****	*****	*****
Total Cash Inflow	*****	*****	*****	*****	*****	*****
Cash Outflow
Fixed Assets	*****	*****	*****	*****	*****	*****
Increase in Current asset		*****	*****	*****	*****	*****
Interest on TL	*****	*****	*****	*****	*****	*****
Interest on WC	*****	*****	*****	*****	*****	*****
Income Tax	*****	*****	*****	*****	*****	*****
Decrease in Term loan		*****	*****	*****	*****	*****
Drawing	*****	*****	*****	*****	*****	*****
Total Cash Outflow	*****	*****	*****	*****	*****	*****
Opening balance	*****	*****	*****	*****	*****	*****
Net Cashflow	*****	*****	*****	*****	*****	*****
Closing balance	*****	*****	*****	*****	*****	*****

Balance sheet

Liability	Pre operative period	Year 1	Year 2	Year 3	Year 4	Year 5
A. Share holders funds
Capital	*****	*****	*****	*****	*****	*****
Reserve & Surplus	*****	*****	*****	*****	*****	*****
B.Non current Liabilities
Termloan	*****	*****	*****	*****	*****	*****
C.Current Liabilities
Working capital loan	*****	*****	*****	*****	*****	*****
Account payable		*****	*****	*****	*****	*****
Total Liability	*****	*****	*****	*****	*****	*****
Asset
A. Non current Assets
Fixed Assets	*****	*****	*****	*****	*****	*****
B. Current Assets
Inventory	*****	*****	*****	*****	*****	*****
Trade receivables	*****	*****	*****	*****	*****	*****
Cash and cash equivalence	*****	*****	*****	*****	*****	*****
Total Asset	*****	*****	*****	*****	*****	*****

Repayment of Term loan

Year	Installment	Outstanding at the beginning	Principal repayment	Interest	Amount paid	Outstanding at the end
1	1	*****	*****	*****	*****	*****
1	2	*****	*****	*****	*****	*****
1	3	*****	*****	*****	*****	*****
1	4	*****	*****	*****	*****	*****
1	5	*****	*****	*****	*****	*****
\|	\|	\|	\|	\|	\|	\|
\|	\|	\|	\|	\|	\|	\|
5	56	*****	*****	*****	*****	*****
5	57	*****	*****	*****	*****	*****
5	58	*****	*****	*****	*****	*****
5	59	*****	*****	*****	*****	*****
5	60	*****	*****	*****	*****	*****

Debt Service Coverage Ratio

Particulars	Year 1	Year 2	Year 3	Year 4	Year 5
Receipts
a).Net Profit	*****	*****	*****	*****	*****
b).Depreciation	*****	*****	*****	*****	0.30
c).Interest on termloan	*****	*****	*****	*****	*****
Total	*****	*****	*****	*****	*****
Repayments
a).Loan Principal	*****	*****	*****	*****	*****
b).Interest on termloan	*****	*****	*****	*****	*****
Total	*****	*****	*****	*****	*****
DSCR	*****	*****	*****	*****	*****

Depreciation

Particulars	Rate	Year 1	Year 2	Year 3	Year 4	Year 5
Building	*****	*****	*****	*****	*****	*****
Less Depreciation		*****	*****	*****	*****	*****
Written down value		*****	*****	*****	*****	*****
Computers/ Printers /Photocopier/Electronic gadget	00	*****	*****	*****	*****	*****
Less Depreciation		*****	*****	*****	*****	*****
Written down value		*****	*****	*****	*****	*****
Furniture & fixtures	00	*****	*****	*****	*****	*****
Less Depreciation		*****	*****	*****	*****	*****
Written down value		*****	*****	*****	*****	*****
Racks & storage/Interior works	00	*****	*****	*****	*****	*****
Less Depreciation		*****	*****	*****	*****	*****
Written down value		*****	*****	*****	*****	*****
new item	00	*****	*****	*****	*****	*****
Less Depreciation		*****	*****	*****	*****	*****
Written down value		*****	*****	*****	*****	*****
new	00	*****	*****	*****	*****	*****
Less Depreciation		*****	*****	*****	*****	*****
Written down value		*****	*****	*****	*****	*****
Air-conditioning	00	*****	*****	*****	*****	*****
Less Depreciation		*****	*****	*****	*****	*****
Written down value		*****	*****	*****	*****	*****
Other investments	00	*****	*****	*****	*****	*****
Less Depreciation		*****	*****	*****	*****	*****
Written down value		*****	*****	*****	*****	*****
Total less depreciation		*****	*****	*****	*****	*****
Total written down value		*****	*****	*****	*****	*****

Conclusion

The project as a whole describes the scope and viability of the Trading industry and mainly of the financial, technical and its market potential.The project guarantee sufficient fund to repay the loan and also give a good return on capital investment. When analyzing the social- economic impact, this project is able to generate an employment of 5 and above. It will cater the demand of Trading and thus helps the other business entities to increase the production and service which provide service and support to this industry. Thus more cyclic employment and livelihood generation. So in all ways, we can conclude the project is technically and socially viable and commercially sound too.

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