2. • Introduction
• Demand study
• Basis and presumptions
• Location study
• Raw material study
• Implementation schedule
• Technical Aspects
• Financial Aspects
• Project capital cost estimates and source of
finance
CONTENTS
3. • The Cricket Batting Gloves are used as safety
guards by the players while playing cricket to save
the hand from any injury.
• Gloves also absorbs the shock caused by hitting the
ball.
• Initially, Batting Gloves were manufactured of
leather.
• I have decided to manufacture gloves using new
synthetic material which is suitable, more durable
and cheaper than the leather material.
INTRODUCTION
4. • The process of manufacturing the Batting Gloves
is the same as for other industrial gloves.
• The only difference is that for the safety of
fingers, pads are used made out of woolen rug
or foam attached on the upper side of the
gloves.
• As less number of cricket gloves maker are there
in Chhattisgarh (RAIPUR) chances of more and
more demand will gono be there.
CONTINUE
5. • Due to the growing interest among younger
generation, large number of Cricket Academies
has come up in every states.
• In addition, there is great demand from overseas
market also.
• Industry can earn a lot of foreign exchange by
way of exporting the cricket gloves.
• Due to top frequent change in design, it is
advised to manufacture quality synthetic gloves.
MARKET POTENTIAL AND DEMAND
STUDY
6. CONSUMPTION OF GLOVES BY INDIA IN 2014
SOURCE: ESTIMATED FROM INDIAN DEPARTMENT OF COMMERCE
Work gloves
45%
Dress gloves
15%
Sports gloves 20%
Medical gloves
20%
7. • The production undergoes on the single shift
basis of 8 hours a day and 25 working days a
month.
• Five years period for achieving full capacity
utilization.
Labour on monthly salary basis.
Rate of interest – 16%
Pay back period 3 to 3.5 years.
Land and building rented @ Rs.12,000 p.m.
Covered area – 1000 sq. ft.
BASIS AND PRESUMPTIONS
8. • Project location is near to the Shaheed Veer
Narayan Singh International Cricket Stadium NAYA
RAIPUR.
• Around 5 km away from stadium.
• Nearest to airport.
• Nearest to market.
• Industry is been setup near to the residental area
as my industry is a pollution free and less noisy.
• Adequate Water supply is available.
• Chhattisgarh Housing Board is constructing 4000
more houses, which are already allotted.
LOCATION STUDY
9. CONTINUE….
• 3 sport academy are going to be open nearby
the stadium which has been approved by
Chhattisgarh State Cricket Sangh.
• This geographical place have large surface as
well as land water.
• There is no cricket component making industry
in this region around 4-5 KM from my location.
• Naya Raipur is going to be declared as a new
capital of Chhattisgarh.
• More traffic intensity as more new complex have
been developed.
10. IN THIS PROJECT RAIPUR IS THE
GOOD LOCATION
22%
20%
17%
24%
17%
Population
Bilaspur
Durg
Raigarh
Raipur
Rajnandgaon
11.
12. • Pittards Leather.
• Thermoplastic polyurethane for protection.
• Sponge-padded polyurethane for better fit.
• Lightweight and rounded high-density foam
finger rolls.
• Two-piece sidebars on lead hand.
• Toweled wristband with embossed
Velcro fastener.
RAW MATERIAL REQUIRED
13. Sl.No. Activity Estimated period
required
1 Market survey 20-30 days
2 Procurement of know-how/experts 40 days
3 Arrangement of premises/area 40-50 days
4 Registration and financing 25-40 days
5 Recruitment of personnel and training 45-60 days
6 Obtaining power connection 30-45 days
7 Procurement of machines and equipments 45-60 days
8 Installation and electrification of machinery 20-30 days
9 Procurement of raw materials 5-10 days
10 Product development/trial production 5-10 days
11 Commercial production 5 days
IMPLEMENTATION SCHEDULE
14. 1. Production Details & Process of Manufacture
Components are stitched together and padding
is attached separately over the post-bed
stitching machine.
Fixing of buckle.
Pre or post printing of monogram logo is
carried out. This depends upon the price of the
product agreed upon.
Finishing, i.e., excess thread/material or oily
matter etc is removed.
Inspection and Packing.
TECHNICAL ASPECTS
16. 2. Quality Specification: IS 3800 Batting Gloves
3. Production Capacity:
Cricket Batting Gloves: 23,000 pairs(annually)
Value : Rs. 14950000
4. Motive Power : 3 HP (approx.)
5. Pollution Control :
This industry does not create any pollution,
therefore, State Pollution Control Board’s
permission is not binding to start the industry.
CONTINUE….
18. Fixed Capital:
1000 sq. ft. covered area rented @ Rs.12,000 (per
month)
Machinery and Equipment:
Sl
No.
Description Qty Rate(Rs.) Value(Rs.)
1 Cylinder bed compound, Feed
Machine (JUKI) No.MS-335
2 85,000 1,70,000
2 Post bed Lock Stitching Machine
(Juki No.MS-810)
2 85,000 1,70,000
3 Electrification and installation
charges @ 10%
40,000
4 Tools and equipment 25,000
5 Cost of furniture and fixture 50,000
Total 4,55,000
19. Sl No. Description No. Salary (Rs.) Total
(Rs.)
1 Manager 1 25000 25000
2 Supervisor 1 20000 20000
3 Skilled Worker 5 10000 50000
4 Accountant/Clerk 2 12000 24000
5 Peon/Chowkidar 2 5000 10000
6 Sweeper/Helper 2 5000 10000
Total 139000
Add perquisites @ 20% on salary 27800
Total 166800
WORKING CAPITAL (per month)
3. PRE-OPERATIVE EXPENSES: 20000
TOTAL FIXED CAPITAL (2 + 3): Rs.4,75,000
20. Sl No. Description Qty Rate(Rs.) Amount(Rs.)
1 Single Thick Cloth 0.10 kg 170 per kg 17
2 PVC (fingers) 0.12 meter 100 per m 12
3 Sweat Band 0.50 meter 80 per m 40
4 PVC for quirk 0.02 meter 100 per m 2
5 Thread 0.1 Reel 200 per pc. 20
6 Nylon tape 0.050 kg 500 per kg 25
7 Velcro 0.50 meter 50 per meter 20.5
8 Thimble Rs.2.00 2
9 Logo/Monogram Printing M.A. 15
10 Packing and forwarding 10
Total 163.5
Round off value 163
(per month 200 x 25) 815000
2. RAW MATERIALS (PER PAIR)
21. Sl No. Description Amount (Rs.)
1 Power 5000
2 Water 1000
Total 6000
3. UTILITIES (PER MONTH)
22. Sl No. Description Amount (Rs.)
1 Rent 12000
2 Postage and Stationery 2000
3 Repair and Maintenance 3000
4 Transportation 6000
5 Advertisement and publicity 5000
6 Insurance 2000
7 Consumable Stores 2000
8 Other contingent expenses 4000
Total 36000
4. OTHER CONTINGENT EXPENSES (PER
MONTH)
23. Sl No. Description Amount (Rs.)
1 Raw Materials 815000
2 Personnel/Technical 166800
3 Utilities 6000
4 Other contingent expenses 36000
Total 1023800
5. TOTAL RECURRING EXPENDITURE (PER
MONTH)
6. WORKING CAPITAL FOR 3 MONTHS:
1023800 x 3 = 3071400
24. Sl No. Description Amount (Rs.)
1 Fixed Capital 4,75,000
2 Working Capital 3071400
Total 3546400
7. TOTAL CAPITAL INVESTMENT
25. • Loan Organization – State Bank of India
• Loan amount - Rs. 2600000
• Rate of Interest – 16% per annum
SOURCE OF FINANCE
26. Sl
No.
Description Amount (Rs.)
1 Total recurring cost 12285600
2 Interest on Total Capital Investment @ 16% 567425
3 Total 12853024
Say 12853000
FINANCIAL ANALYSIS
1. COST OF PRODUCTION (PER YEAR)
28. Corporate Tax in India :
= 25% Total Income
= 25% of Gross Profit(14950000-12853000)
= 0.25 * 2097000
= 524250/- INR
DDT( Direct Dividend Tax):
= 15% (Gross Profit/Annum – Corporate Tax)
= 15% (2097000 – 524250)
= 15% 1572750/-
= 235912/-
Total Tax payable = 524250+235912= 760162/-
TAXATION
29. Turn over 14950000
Cost of Production (-) 12853000
Net Profit after tax(yrly) 1336800
3. NET PROFIT PER ANNUM
Net Profit per year x 100
Turnover per year
=
1336800 x 100
14950000
=
= 8.94%
4. NET PROFIT RATIO:
30. Net Profit per year x 100
Total Investment
1336800 x 100
3546400
37.69%=
=
5. RATE OF RETURN
PAY BACK PERIOD6.
Original invested(Rs.)
Annual investment achieved (Rs.)
3546400
1336800
= 3 year(approx.)
31. ADDRESS OF MACHINERY &
EQUIPMENT SUPPLIERS:
• M/s Jay Cee Enterprises Ltd, 6, South Model
Gram, Dutta Building, Ludhiana.
• M/s J.C. enterprises, E-357, Greater Kailash –
II, New Delhi
• M/s Singer Sewing Machine Co., Anna Salai,
Chennai – 600 002.
• M/s Apparel & Leather Technics Pvt Ltd, 515,
Avanashi Road, Durg – 491001
32. ADDRESS OF RAW MATERIAL
SUPPLIERS:
• M/s Global Enterprises, Kotwali Bazar,
Jalandhar (Punjab).
• M/s Kerala Rubber House, Kotwali Bazar,
Jalandhar (Punjab).
• M/s Bharani Agencies, 126, Thumbu Chetty
Street, Chennai 600 001
