PROJECT REPORT

ON
PROPOSED INDUSTRIAL ESTABLISHMENT PLAN

OF

M/S VINAY GARMENTS

FOR ALLOTMENT PLOT IN INDUSTRIAL PLOT ALLOTMENT UNDER INDUSTRIAL PLOT SCHEME-2022

AT

(SECTOR-26, GIDA, GORAKHPUR-273209, UTTAR PRADESH, INDIA)

FOR MANUFACTURING OF CURTAIN

FROM:

VIJAY PAREEK & CO.

(Chartered Accountants)

HIG-14A, Near Champa Devi Park, Taramandal, Gorakhpur -273001 (U.P.)

Contacts: 0551-3589627, +91-9621193185,+91-7380831444-
Mail at: [email protected]
For more details Visit : www.vijaypareeknco.com

Note : For Specific Use Only

 1. CONCERN /PERSONAL DETAILS:

Concern (Unit) Name M/S VINAY GARMENTS

Address (Proposed Unit Address) Sector-26, Gida, Gorakhpur-273209, Uttar Pradesh, India
Present Address of Unit 624, Pandey Hata, United Louge, Pandey Hata, Gorakhpur, Uttar
Pradesh, 273001, Uttar Pradesh , India
Statue Proprietorship Firm (Individual)
Corporate Identification (GSTIN) 09AZTPG9605P1ZD
Proprietor’s/Owner Details Name:Mr. Vinay Kumar Gupta
Father Name:Mr. Hari Lal Gupta
PAN: AZTPG9605P
AdharNo : 5461-6232-5218
Date of Birth: 15/09/1991
Mobile No: 7007666974, 8858337112
Email ID: [email protected]
Resident Address:
624, Pandey Hata, United Louge, Pandey Hata, Gorakhpur, Uttar
Pradesh, 273001, Uttar Pradesh , India
Business Experience 31 Years
Proposed Business Activity Manufacturing of Curtain
Unit Area 510 Sq Mtr. (400 Covered and 110 Uncovered)
Cost of Project and Details Land Cost :- Appx Rs. 33.25 Lacs
Construction Cost: Appx Rs. 31.43 Lacs
Machinery & Assets Cost: Appx Rs. 13.32 Lacs
Working Capital Requirements: Appx Rs. 53.35 Lacs
2. INTRODUCTION (PROJECT VIABILITY & FISIBILITY):

In India, Rapid urbanization, increasing population, and changing lifestyles have fueled the
demand for automatic curtains in residencies in the global market. Curtains play a vital part
in the decor of the home. Electric curtains come with many advantages over traditional
curtains such as energy efficiency, security, convenience, and versatility. Automatic curtains
are powered by a single motor, or two if the width of the window requires them to be
double-sided. Since the motor must handle heavy drapes, hardwired models are the norm.
The curtains can be opened and closed fully or in increments through remote control or
voice command. It offers remote operation or touch operation leading to higher ease and
flexibility for opening and closing of the curtains to the users. These are an ideal choice for
the long curtains that are usually out of reach especially in office spaces and commercial
buildings. Automatic curtain systems are designed to work with the existing curtains or
drapes but require users to mount some ceiling brackets and hook a new motorized track
onto them. Since the manufacturer doesn't know the exact width of the setup, the track is
usually longer than necessary. Users need to use a hacksaw to shorten it before installation.
There are some solutions such as Curtain Control solution which is designed to open and
close window curtains and blinds automatically. The movement can be initiated either from
the Remote-Control Switch or from Touch Switch, providing users with maximum levels of
flexibility. Multiple curtains can be controlled with a single remote. The motion of the
curtain is in the form of a smooth, continuous movement initiated by pressing and holding
down the button on the remote or the switch.

A curtain is a beautiful piece of fabric that is generally hung in interior design to limit the
amount of light that enters windows and to keep draughts out of door or window openings.
Curtains, which are frequently constructed of a thick and designed to fall straight in elegant
folds, are also known as draperies.

Curtains can be used to cover your windows in any way you want. There are numerous
window curtain options available today for customizing windows. Curtains are an excellent
choice for your dining room, kitchen, or living room. You can choose curtain panels that
complement your interior design and style because there are so many different colour
options, materials, and designs available.

One of the primary functions of curtains is to protect your privacy and security. Installing
curtain panels in your bedroom or living room is a smart way to keep strangers out of your
personal space. Use curtains to protect your privacy and enjoy your personal space without
having to worry about strangers peering through your windows.

Another significant benefit of window treatments is their ability to regulate the quantity of
sunlight that enters your home. If you want to let natural light flood the space or prevent the
direct sunlight, which could be dangerous, curtains and drapes can help you adjust the
intensity of the sunshine. If you want to liven up your living room during the day but are
unclear of how to keep onlookers from peeping in through your open window, sheer
curtains will come to your rescue. A sheer curtain is particularly effective at light filtering
when you want to take advantage of the sun's warmth while preserving your privacy. If you
Want to sleep without having sunshine glare in your eyes, Use light-filtering drapes to block
out light and encourage restful sleep.

Curtains may make a room feel smaller and cosier while also improving the way it looks.
Thick curtains are essential for keeping your living room warm, but light-coloured linen
curtains make your area appear larger and more expansive. A space feels more open and
airy when curtains made of softer fabrics and lighter materials are installed. For instance,
sheer curtains and pastel colours will open up the room and light up every dim corner.

The growing consumer awareness of the benefits of advanced window blinds, such as
convenience and energy efficiency, combined with rapid growth in the construction sector in
emerging economies such as Brazil, Mexico, South Africa, and Argentina, will drive the
curtains and window blinds market landscape. The expanding real estate sector in Latin
America and Africa will provide additional opportunities for industry growth.

India as well as Indian sub-continent is known as a high quality and big quantity of Curtain
manufacturing hub in the world. Garment manufacturing units are belonging from
Livelihood unit/ Micro unit to Large unit. It contributes significantnumber of employment
generation and export earnings. Curtain are made in different sizes underCurtain Garment
category to cater the need of the customers both in export and domestic market.

The curtain manufacturing industry is considered an off-shoot of India’s Textile industry

which the dates back to the middle of 19 century. The textile industry is the maximum
revenue gathering industry in the country. The industry can be divided in to two segments,
the natural fibre segment and the man-made synthetic fibre segment. The industry even
after the introduction of power – driven machines or mechanical process of button holding,
stitching or embroidery, continued to remain labour intensive and cheap labour is our forte.
The overall demand of clothing has gone up in the state because of increasing degree of
industrialization, effecting clothing habits. The increasing level of communication leading to
increased travel and tourism has in turn created the demand for both seasonal and
occasional clothing.

Automatic Curtain Opener is vast in demand in the market at present time in metro and in
tier two cities also this automatic curtain opener is being used at modern theaters in school
colleges, auditorium, conference hall and as well as presentation rooms. With the
widespread penetration of digital presentation technology and use of presentation
hardware and projectors in conference halls this is an integral part of conference rooms.

This project profile envisages the production unit of Automatic Curtain Opener by setting up
of unit in a small scale sector.

The Automatic curtain Opener are used for opening and closing of the stage of any good
theatre, auditorium conference hall etc. The mechanism should automatically open and close
the curtain depending on the situation of the function being performed on the stage. The
mechanism consist of single phase induction motor drive a forward-reserve starter and two
limit switches.
The 2022 Global: Curtains And Interior Blinds, Curtain Or Bed Valances, Of Woven Materials
Products-Manufacturing Forecast (2028) report analyzies the market size, projected
growth/decline and regional data for the period 2017 through 2028.

Perry/Hope Partners' reports provide the most accurate industry forecasts based on our
proprietary economic models. Our forecasts project the product market size nationally and
by regions for 2017 to 2028 using regression analysis in our modeling. and Perry/Hope is
the only market research publisher that utilizes both longitudinal (historical) and vertical
(from market section to market division to market class) analysis, since we study every
manufactured product in the countries we analyze.

The market study aims at estimating the market size and the growth potential of this
market. Topics analyzed within the report include a detailed breakdown of the global
markets for curtains and interior blinds, curtain or bed valances, of woven materials by
geography and historical trend. The scope of the report extends to sizing of the curtains and
interior blinds, curtain or bed valances, of woven materials market and global market trends
with market data for 2020 as the base year, 2021 and 2022 as the estimate years with
projection of CAGR from 2023 to 2028. Product shipments include the total value of all
products produced and shipped by all producers. For selected products, this can represent
value of receipts, value of production, or value of work done. Market data is provided in U.S.
dollar value at global and regional levels, as well as local currencies for all countries. Product
shipments values are also broken down by geographic areas in the countries in the report
for regions, districts, provinces, states and cities. The report focuses a detailed calculation of
original equipment manufacturers and the related system providers. The study forecasts the
market value of the curtains and interior blinds, curtain or bed valances, of woven materials
market.

Regional summaries include North America, Europe, Asia-Pacific, Latin America, Africa, and
Middle East. Percent shares are presented for each region as a share of the global market.
This report is primarily aimed at business professionals in fields related to the market.
These may include manufacturers and their suppliers, financiers and investors, researchers
with backgrounds in the market, marketing and sales professionals, and others. Perry/Hope
Partners hopes you will utilize our Manufacturing Forecast reports for:

Your company's performance benchmarked to industry averages and top market

players.Your GAP analysis needs (national and regional forecasts compared to your
company's turnover performance). Your market share in both national and regional
markets.Your risk analysis data needs (market performance compared to other industries
and national/international economies).

Your investment decisions based on market growth/decline forecasts and investment

forecasts for goods, buildings/structures, equipment and machinery. Your SWOT analysis
requisities (potential market strengths, weaknesses, and external opportunities and
threats). Your budgeting plans and business plans. This report does not list key
players/companies in the market but focuses on a top-down and outlook view of the market
despite the existing and entering of market companies.
The motor when actuated y the push buttons and contractor may rotate in either direction
depending upon the direction of current flowing through its main winding. The motor once
when required to stop required limit switches. In the Automatic Curtain Opener the motors
runs in both the direction for opening and closing hence two numbers of limit switches is
required to control automatic curtain opener

Its predominant presence in the Indian economy is manifested in terms of its significant
contribution to the industrial production, employment generation and foreign exchange
earnings. The Curtain garment industry in India owes its existence to the emergence of a
highly profitable market for exports. Ready-made Curtain account for approximately 45% of
India's total textile exports. It has immense potential for employment generation
particularly in the rural and remote areas of the country on account of its close linkage with
agriculture. They represent value added and less import sub sector. In the recent years,
however, the domestic demand has also been growing rapidly. Thus, due to demand it is a
good project for entrepreneurs to invest.

3. KEYS TO SUCCESS/FEASIBILITY
Curtains are the most common type of fabric panel window covering, and they are typically
sold in pairs. They come in a wide range of fabrics, lengths, widths, patterns, and colours.
Furthermore, window blinds are window covering solutions that improve the aesthetics of a
room while also providing privacy from external light, sound, and other disturbances. The
market for curtains and windows was valued at USD 20.8 billion in 2020 and is expected to
grow at a CAGR of 3.9% from 2021 to 2027. India as well as Indian sub-continent is known
as a high quality and big quantity of Curtain manufacturing hub in the world. Garment
manufacturing units are belonging from Livelihood unit/ Micro unit to Large unit. It
contributes significant number of employment generation and export earnings. Curtain are
made in different sizes under Curtain Garment category to cater the need of the customers
both in export and domestic market.

Curtain garment industry has occupied a unique place in the industrial scenario of our
country by generating substantial export earnings and creating lot of employment. Its
contribution to industrial production, employment and export earnings are very significant.
This industry provides one of the basic necessities of life. The employment provided by it is
a source of livelihood for millions of people. It also provides maximum employment with
minimum capital investment. Since this industry is highly labor-intensive, it is ideally suited
to Indian condition. This project report is prepared for the manufacture of gent’s shirts,
gent’s trousers as they find wide acceptance in local and international markets. Any person
having the knowledge of cutting and stitching operations can easily set up such
establishments.

4. MARKET:

Home furnishing market in India is projected to cross INR40,000 crore by 2020, on account
of rising demand for contemporary designs, increasing number of households, booming real
estate sector, growing demand for branded and custom designed furniture and increasing
availability of innovative and affordable home furnishing products in the country. Rising
demand for bath and table linen products, upholstery, etc., increasing demand for premium
quality window coverings such as curtain fabric and blinds, and rising trend of using
wallpapers and wall-decals over traditional paints & coatings are some of the major factors
driving adoption of home furnishing products in the country.

Growing adoption of automatic curtains in hotels, conference rooms, and office spaces owing
ease in operation is driving the market growth. The rising trend of home automation is also
fueling the market growth across the residential sector. High versatility of automatic
curtains to cater to different styles and size of windows is also increasing the market
demand. The commercial sector is further divided into hospitality, healthcare, shopping
malls & centers, educational centers, office spaces, and others. The commercial segment is
the fastest-growing segment and is expected to hold the majority of market share in the
global automatic curtain market. Rapid urbanization, increasing population, and changing
lifestyles have fueled the demand for automatic curtains in residencies in the global market.
Curtains play a vital part in the decor of the home. Electric curtains come with many
advantages over traditional curtains such as energy efficiency, security, convenience, and
versatility.

The market for curtains and windows was valued at USD 20.8 billion in 2020 and is expected
to grow at a CAGR of 3.9% from 2021 to 2027.

Curtains are the most common type of fabric panel window covering, and they are typically
sold in pairs. They come in a wide range of fabrics, lengths, widths, patterns, and colors.
Furthermore, window blinds are window covering solutions that improve the aesthetics of a
room while also providing privacy from external light, sound, and other disturbances.

The growing emphasis on improving building infrastructure to provide privacy and

convenience in the residential sector will result in an increase in the installation of window
blinds and shade products. Furthermore, rising demand for window curtains from hotels,
hospitals, and other commercial buildings will provide potential opportunities for global
market growth.

Door Curtain Manufacturing Detailed Project Reports cover all the aspects of Door Curtain
Manufacturing business, from analyzing the Door Curtain market, confirming availability of
various necessities such as machinery for Door Curtain, raw materials to forecasting the
financial requirements for Door Curtain Manufacturing. The scope of the report includes
assessing market potential of Door Curtain Manufacturing, negotiating with collaborators,
investment decision making, corporate diversification planning etc. in a very planned
manner by formulating detailed manufacturing techniques and forecasting financial aspects
by estimating the cost of raw material, formulating the cash flow statement, projecting the
balance sheet etc.

The project profile envisages the production of Automatic Curtain Opener by setting up of
unit in a small scale sector. The Automatic curtain Opener are used for opening and closing
of the stage of any good theatre, auditorium conference hall etc. The mechanism should
automatically open and close the curtain depending on the situation of the function being
performed on the stage. The mechanism consist of single phase induction motor drive a
forward-reserve starter and two limit switches. The motor when actuated the push buttons
and contractor may rotate in either direction depending upon the direction of current
flowing through its main winding. The motor once when required to stop required limit
switches. In the Automatic Curtain Opener the motors runs in both the direction for opening
and closing hence two numbers of limit switches is required.

5. LAND , BUILDING, MACHINERIES ( LAND UTILIZATION/LAYOUT PLAN):

Full-scale Semi Automated Curtain manufacturing does not requires setting up of a large-
scale factory with a complex production process. However, it is possible for small-scale
entrepreneurs to set up Curtain Manufacturing assembly units as a small- or medium-scale
manufacturing operation. In our Unit we are considering it at small-scale enterprises and
Unit details as follows

 LAND :
The location of the proposed business with its production unit is at Sector-26 of
Gorakhpur Industrial Development Authority (GIDA). Total Area Approx. 510 Sq Mtr
@ 6520 , within maximum initial payment @ 10%
Note : The Above Defined plot is not an final plot. Final Plot shall be as provided by
GIDA

 BUILDING(LAYOUT PALAN):
Covered or built-uparea for the plant and Machinery including, Storages, Raw
material store, finished goods store, Processing section, Machinery spares store
room, Panel board room,For other construction for office, Toilets, Security office, Tin
Shedding in front of Procession and storage, Miscellaneous space etc. Double Story
Building. Housing area for Staff shall be within the limits as defined by the Authority
from time to time. Approx. Covered area for above construction shall be Appx 400 Sq
Mtr. And uncovered area Appx 110 Sq Mtrs. for the purpose of loading, unloading,
sun drying raw or other material, and for all other works ancillary & relevant to the
proposed production line.

 MACHINE:
Curtain manufacturing is not a complex process. Machines need to be selected on the
basis of the specific Cutrain and Fabric thereof quality type that is being produced
and the raw material being used. However, major machines include:

Required Machinery for Proposed Curtain Manufacturing Unit as under

Machine Name Qty Rate Amount
Stitching machine Along with Motor 8 11000 88000
therein
Overlock Machine 6 3000 18000
6” Power driven cloth cutting machine 1 40000 40000
2 Needle Overlock Safety Stitching 1 4000 4000
Machine with Trimmer
Double Needle Lock Stitch Machine 1 75000 75000
Single Needle Lock Stitch Machine with 8 12000 96000
motor.
Button Hole making Machine 1 55000 55000
 Button Stitching Machine 1 3500 3500
Garment Washing Machine 25 Kg capacity 1 50000 50000
Hydro extractor 25 Kg capacity 1 50000 50000
Tumbler Dryer 25 Kg capacity 1 65000 65000
Flat Bed Steam Iron Press with Vacuum 5 25000 125000
Table.
Zig Zag Embroidery Machine 1 45000 45000
Wash Room Trolleys 2 80000 160000
Hot Fusing Press 1 35000 35000
Scissors 10 500 5000
Eyelet Machine 1 15000 15000
Cutting Machine 1 85000 85000
Feed Off Arm 1 40000 40000
Bar Tracking 1 60000 60000
Waist Belt Machine 1 85000 85000
Button Stitching Machine 1 85000 85000
Loop Making Machine 1 55000 55000
Snap Fastener 1 10000 10000
Steam Boiler 8 11000 88000
Total Machinery 1409500

Others Relevant Assets

Furniture & Others Qty Rate Amount
Working table 6 16000 96000
Fiber stool 4 500 2000
Steel almirah 4 8000 32000
Steel Rack 4 4000 16000
Iron box 1 2500 2500
Computers 1 30000 30000
Printer 1 15000 15000
Lay Table 10 10000 100000
Erection and installation 40000
Pre-operative expenses 15000
Total 403500

 INPLEMENTATION SHEDULE:

The machines are available from supplier within one month’s period. The project can be
implemented within six-month period. Subject to construction.

Activity Period Term

Construction of Building, Market tie-up 6 Month
Procurement of machinery and equipment 2 Weeks
Plant erection and Electrification 2 Weeks
Arrangement of raw material including Packaging Material etc. 1 Month
Recruitment of manpower 1 Month
Arrangement of finance (Term loan and working capital) 1 Month
 Selection of market channel 1 Month
Miscellaneous works like power/water connection etc. 1 Month

Note: Considering that some of the above activities may beoverlapping, the project
implementation will take a total period of 8-12months approximately for starting the
production.

6. TOTAL CAPITAL COST OF PROJECT:

Total Cost of Project includes capital cost amount required for whole production unit
which are as follows:

Sr. No Description Amount

1. Land Cost 510Sq Mtr@ Rs. 6520 3325200
2. Building Construction Cost 3142500
3. Machinery & Other Assets 1532500
Total 8000200

7. MATERIAL, PPROCESS, FINSHED GOODS:

 RAW MATERIALS:
The main raw materials for manufacturing Curtain are Cotton Fabric, Blended Fabric,
Polyester, Non-Woven Fabric, Trims & Embellishments, Collar, Plastic Film, Packing
Material, Sewing Thread. These fabrics are sold in meter. Fabric and other materials
are available in the wholesale market at different prices depending on the quality. The
amount of raw materials depends on the size of finished garment. Therefore, an
average rate of medium quality raw materials for a single & free size curtain is taken in
below table: Main raw material required for Readymade curatin is the fabric. Both,
cotton and blended fabric is used in the products depending on customer choice and
the budget. Cotton fabrics of superior quality are expensive compared to synthetic or
blended fabrics. Raw material is available in almost all towns of India either directly
from the fabric manufacturers or wholesalers. Many mills have their agents or brokers
who book orders from traders and garment factories on regular basis. Apart from
fabric, other inputs are thread, buttons, labels, zippers, pocket & lining fabric and
interlining. The major raw materials for the textile and apparel industry include cotton,
jute, silk, wool and man-made fiber.

 PRODUCTION PROCESS:
 Procurement: Procurement of Dyed/ bleached/printed cotton/synthetic, non-
woven (for healthcare garment) fabrics, as per demand is to be procured from
the open market. The fabric will be inspected by laying on the inspection table
against light before cutting so that unevenness in color/ shade or any other
fault, if any visible in the fabric are eliminated.
 Designing and Pattern Making: As per the selected designs, the patterns are
prepared, checked for accuracy and then master patterns are developed. Then
these patterns are graded into different sizes.
 Cutting: Fabric is placed on the cutting table in layers and then the different
parts of the respective curtain are demarked by a chalk as per different sizes
with the help of Patterns. Cutting is carried out by the cutting machine. The
 inspected fabric is placed on the cutting table in layers and then the different
parts of the respective Curtain are demarked by a chalk as per different sizes.
Cutting is carried out by the cutting machine. Stitching is carried out for
individual portion of the Curtain by skilled workers with the help of over-lock,
lock stitch machines etc.
 Stitching: Stitching is carried out for individual portion of the Curtain by
skilled workers with the help of different stitch machines. Button Hole &
Button Attaching job will be outsourced.
 Thread Trimming: Unnecessary threads are trimmed
 Washing, Checking, Pressing and Packing: All Curtain are charged into
washing machine containing mild detergent and washed for 4 hours in order to
remove dirt and stains acquired during the manufacturing process. After
washing, the Curtain are hydro extracted to remove excess water and after this,
these Curtain are dried in tumbler dryer. Final checking is done before pressing
and packing on the checking table so that any fault in the piece may be
removed and protruding threads eliminated. The individual pieces are pressed
by steam presses to remove any wrinkle marks and packed in the carton boxes.
 Quality Control & Standard: The quality of Curtain mainly depends on quality
of fabric used. Therefore, care must be taken while purchasing fabrics to
ensure good colorfastness properties, uniformity in shade etc. Generally,
Curtain are made as per customer's specification in respect of size, design and
fashion.

 FINISHED GOODS:
In the proposed manufacturing unit finished goods is Curtain which is itself a very
broad. In the proposed manufacturing unit finished goods include various Shape,
Quality and Size of Curtains .

8. WORKING CAPITAL REQUIRNMENTS:

At the One-month cycle, the project requires working capital for raw material of ₹ 45.13
lacs as detailed below:

Item description Unit Qty Rate Amount

Dyed/ Bleached/Printed Fabric Mtr. 112800 39 4399200
All types of thread Kgs 8 650 5200
Other items like laze, buttons, Sticker etc. Kgs 25 944 23600
Packing Materials Kgs 100 850 85000
Total 4513000

9. MANPOER/STAFFINGS:
The proposed manufacturing unit needs to recruit 71 people in the various capacities for
specific roles. The unit will further train and orient the recruits in their areas of work for
the smooth operations.

Designation Number Salary (Pm) Amount

Manager cum Production Manager 1 15000 15000
 Designer cum Supervisor 3 15000 45000
Cutting Master 3 12000 36000
Skilled Workers 35 10000 350000
Unskilled Workers 14 8000 112000
Marketing Manager 1 12000 12000
Sales Representative 5 10000 50000
Accounts Officer 1 8000 8000
Pressman & Washmen 4 8000 32000
Cleaning Staff & Peon 4 8000 32000
Total 71 692000

10. UTILITIES& OTHER CONTIGENT EXPENSES PER MONTH:

Utilities include the monthly recurring cost directly related to production process, which
are as follows:

Sr. No Description Amount

1. Power Requirements 35000
2. Water Requirements 5000
3. Transportation& Freights 70000
4. Other Miscellaneous Expenses 20000
Total 130000

11. TOTAL WORKING CAPITAL REQUIRNMENTS: Rs.53,35,000/- Per Month

Total of Pint 9+10

12. TOTAL COST OF PROJECT:

Total cost of project including Capital cost, working capital requirements and
means of finance thereof.

Cost of Unit
Rs in INR
Description Amount
Land Cost 3325200
Capital Cost (Other than Land) 4675000
Working Capital Requirements 5335000
Total Cost of Unit & Working Capital 13335200
Means of Finance
Description Amount
Down Payments (Part of Own Contributions) Earnest Money 332520
Bank Financial Assistant (Term Loan) 75% of Capital Cost 6000000
Bank Financial Assistant (Cash credit) 75% of Requirements 4000000
Own Contribution (Including Down Payment to GIDA and 3002680
Minimum Margin contribution required by bank in Capital and
Working Capital Requirements and outstanding amount of
GIDA after Down Payments)
Total Means of Finance 13335200
 Note:T he total projected cost of the business consists of startup cost and working
capital. For Machinery, Building, and other Installation a term Loan and Own
Contribution is Proposed. For the Purpose of Working Capital requirement Cash
Credit would be proposed along with additional contribution from proprietor if
required so. Working Capital Requirements includes cost of Inventory purchases,
Power, fuel, other Utilities, freight, Delivery expenses, Payroll, Taxes, licenses, and
Administrative Cost.

15. ADMINISTRATION COST:

Administration cost includes expenses which are not directly not related to
production but axially to production of unit which are as follows:

Description Amount (Annual)

Bank interest on term Loan (Taken Approx. 11.50 %) of 690000
Term Loan
Bank interest on Cash Credit (Taken Approx. 11.50 %) of 460000
Cash Credit
Depreciation Building @ 10% 314250
Depreciation Plant & Machinery @ 15% 229875
All other Administration cost (it includes GIDA Rentals and 1085000
all cost which is not mentioned specially)
Total 2779125

Depreciation on Some assess are Less or More as Taken @15% But for the purpose
of Simplicity taken as 15% on All Assets

16. ANNUAL TUROVER/REVENUE FROM OPERATION:

In the proposed production unit is considered mainly for the production of Shirts,
Trousers, T-shirt’s and Lowers, Jeans and Jacket.. However, this is not a final list of
production items. Expected annual production as follows.

Products Unit Qty Rate Value ( Rs.)

Curtain 112800@12=1353600 Mtr 1353600 53.50 72417600
Total Turnover Mtr 1353600 72417600

17. PROFITABILITY:
Profitability of the proposed unit is as follows.
Particulars Amount
Gross Profit (Sales – Working Capital Cost x 12 Months) 8397600
(Rs. 72417600-Rs. 5335000x12)
Net Profit Before Tax (Gross Profit – Administration Cost) 5618475
(Rs. 8397600-Rs. 2779125)
Net profit After Tax =Net Profit before Tax – 30% 3932933
(R. 5618475-Rs. 1685542)
18. RATIO:
Various Relevant ratio of proposed Manufacturing unit is as follows.
GP Ratio= Gross Profit/Sales x100=11.60%
NP Ratio =Net Profit /Sales x100= 5.73%
Return of Investments: Net Profit/Own Investments =3932933/3335200= 1.17
Times

19. BREAK- EVEN ANALYSIS:

FIXED COST (Per Annum)
Description Amount
Total Depreciation (Building & P& M and Furniture) 544125
Interest on Term Loan 1150000
Salary (40% of Total Salary) 3321600
Utilities (40 % of Total Utilities) 624000
Total 5639725

Break Even Point:

Fixed Cost 5639725

--------------------- X100---------------X 100 = 58.91%
Fixed Cost + Net Profit 5639725+3932933

20. POWER, WATER, & UTILITIES REQUIRNEMNTS:

 Power: The power requirement is 35KW.

 Manpower: Labor requirement stated above.
 Water: Water is required for human consumption and utilities work
The proposed location is under the Estate of GIDA Gorakhpur, Uttar Pradesh,
where industrial electricity is available mostly.

21. WATER REQUIRMENTS:

The Proposed unit does not have much water requirements for production Apart
from this Unit want to plant trees and other beautiful greenery in front are of unit
keeping in mind the other rules and regulation provided by the authority for the
same it requires water. Unit also had requirement of water connection inside in
order to supply for labors and other personnel working in the proposed unit along
with RO system. Unit Requires some water in Utilities work like cleaning of dirty
fabrics and cloths.

22. POLLUTION AND ENVIROMENTL IMPACTS:

The process of manufacture does not generate pollution. However, entrepreneurs
are to contact State Pollution Control Board for necessary guidance. Maximum
care should be taken while selecting the machinery and other electrical
equipment’s so as to ensure minimum power consumption. Propose
 Manufacturing plan total electricity consumption plant not producing any type of
Bye Products, Gases, Liquids or other Form which can harm, damage the
environment in any manner.

23. REGISTRATION REQUIRES:

The entrepreneur needs to obtain following registrations and licenses from
government authorities:
 Approval From GIDA
 Udyog Aadhaar MSME registration
 GST Registration
 NOC from Pollution Control Board(If Required So by Authority)
 Bureau of Energy Efficiency certification/ ISO/ Quality Control

However, specific license and registration requirements will depend on the

manufacturing process and the type of Manufacturing of Curtain that is being
produced same shall be taken from time to time if so being applicable.

24. CONCLUSION:

Curtain Manufacturing Unit is a commercial production unit to be established at

Industrial Estate under Industrial Estate of GIDA Gorakhpur, Uttar Pradesh which
requires a financial investment worth of Rs.133.35 Lacs.

Propose Manufacturing plan total electricity consumption plant not producing any
type of Bye Products, Gases, Liquids or other Form which can harm, damage the
environment in any manner except a DG set which would be latest sound proof
and less carbon emission machine if required so in future.

As a forward-looking concern unit is a socially responsible firm, we would bring

about benefits to the local community and our customers. We will create
employment to around 71 people and contribute to the nation’s economy in the
form of taxes.

The proposed unit will give satisfaction salary and allowances with commission to
the employees as they are bedrock of our business and our success depends on the
level of satisfaction, they derive working in the business house.

The business house will accord top priority to our customers and deliver high
quality and timely services, and products. Through an expansive marketing
strategy unit will create a unique brand for itself. The proposed unit would earn
profit of 5.73% on an average. It is assured and guaranteed that the proposed unit
would make more profit once it starts production and marketing than as it is
aforementioned. The proposed business is feasible due to its strategic investment
and operational plans.