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My Business plan<br />ON<br />ALOEVERA<br />,[object Object],SUMIT C. MODHA<br />M.B.A.-3rd semester<br /> ROLL NO: 47<br /> ACADEMIC YEAR: 2010-‘11<br />,[object Object],N.R.Vekariya Institute of business Management studies- Junagadh<br />,[object Object], Dr. Rajesh Patel<br />,[object Object], Dr. Rajesh Patel<br />PREFACE<br />As I am student of management, I have to perform like an entrepreneur and prepare a product proposal report. In this task we have to perform as an entrepreneur and do all kind of that an entrepreneur performs in his business life. The management education is growing popular in the present decade only because of its unique feature like practical approach. <br />In past, the Doctors & Engineers were the other names for the higher education but the Management Education pays its way and now recognized as sophisticated field of knowledge and much is attributed to the practical side of the subject. The project profile report is among its specialty of final year level<br />As per the data to be collected, information and other details which are helpful, I have chosen a project which helps me not only for study purpose but also help me to convert my ideas, skills etc. like opportunity into success.<br />Presence of enormous interest, a systematic research and marketing strategies etc. helps me to make project worthwhile & a lot of information for those who are unknown about Toys industry in some particular manner. Systematic and scientific presentation leaves no room for any difference on any aspect & helps me to go in roots of each & every detail.<br />In this competitive and changing world we have alert about our product and its future.<br />Nowadays the demands of new and different products are emerge and to survive and earn more profit we have to put something new product in the market.<br />Thus, I’m prepared my product proposal report on new product for this Saurashtra region and                  i.e. ALOEVERA<br />I tried my level best to prepare this product proposal report with my knowledge and ideas. If any error or mistake found in this report, please forgive me as a student.<br />ACKNOWLEDGEMENT<br />The magic begins when we set goals. It is then the switch is turned on, the current begins to flow and the power to accomplish becomes a reality.<br />For starting every new work and to be successful in that particular work true guidance and help is necessary. I also received some support and true guidance so I was able to prepare this report.<br />I am hearty thankful to our respected  director, Dr.rajesh patel under whose guidance, I have prepared this business plan<br />Thank you<br />Date:       25th Nov, 2010<br />Place:junagadh<br />  Yours faithfully,<br />(Sumit C. Modha)<br />TABLE OF CONTENT<br />,[object Object]
Business plan at glances
Business profile
Unit location
Introduction of product
Raw-material and its suppliers
Cultivation process
Product development
Capacity of work
Implementation schedule
Organizational Plan
Organizational structure
Human resource planning
Wages and salary
Marketing plan
Channel of distribution
Promotion
Advertisement
Target market
Price determination
Market requirement
Market condition
Market expansion
Total Capital Investment
Application of fund
Financial arrangement
Cost of production
Analysis of income & expenditure
Break even point and marginal cost statement analysis
Ratio analysis
Future Endeavour
ConclusionEXECUTIVE SUMMERY<br />Aloe Vera is not traditional product for cultivation in Saurashtra region but in Gujarat and in other states Aloe Vera is cultivated and its very useful & helpful plant.<br />Aloe Vera is a semi tropical plant. There are over 250 species of Aloe grown around the world. It contains more than two hundred tonic ingredients including essential amino acids, minerals, vitamins, enzymes and steroids. Also contains the most essential components required by the human body. <br />Aloe Vera is very useful plant in any human being day to day affair. I’m also used this plant in my daily routine life as medicine. So I’m decided to prepare my business plan on Aloe Vera.<br />OBJECTIVE:<br />,[object Object]
Make growth by adding value to the customer service.
Increase in Profit earning in terms of 15% in 2 years.
Unique enterprise is also want to add more product in their product categoriesMission:<br />,[object Object],VISION:<br />“The vision of the unique enterprise is to provide quality product to the customer and through that build good relationship and earn profit”<br />BUSINESS PLAN AT GLANCE<br />Name of Unit : Unique Enterprise<br />Location of Unit: Unique Enterprise,<br />Survey No. 08,<br />Village: - Pandavadar,<br />Dist. Porbandar-360579<br />(0286)2277416<br /> Product Manufacturing: Aloe Vera<br />Registered Office &: A-203, Shreeji Sankul Appt,<br /> Communication Near Zundala RailwayTrack,<br />Address Porbandar-360575<br />Size of Firm: Small Scale Industry<br />Types of Firm: Sole Proprietorship Firm<br />Owners Name & Address: Sumit C. Modha<br />Near Gayatri Pragna Temple,<br />Village: Pandavadar<br />Dist. Porbandar<br />S.S.I. Reg. No.: Applied For<br />PAN Income tax department : Applied for<br />Sales tax registration number: Applied for<br />Bankers: State Bank of India<br /> Main Branch, M.G. Road,<br /> Porbandar-360575<br />E-Mail Address:Unique_Enterprise@Yahoo.In <br />Web-site: www.uniqueenterprise.com<br />Capacity installed: 80%<br />Capacity Utilization: 40%<br />Man Power require: 8 Employees<br />Total Capital Investment: Rs. 9, 22,500<br />Fixed Capital Investment: Rs. 4, 63,000<br />Working Capital Investment                : Rs. 4, 59,500<br />Owner Fund: Rs. 4, 22,500<br />Govt. Support: Rs. 2, 00,000<br />Bank Loan: Rs. 3, 00,000<br />Break Even Point: In % 36.04 & In Rs.3, 08,150<br />Margin of Safety: In % 63.96 & In Rs.5, 46,850<br />P/V Ratio: 46.26%<br />G. P. Ratio: 29.58%<br />N. P. Ratio: 26.71%<br />BUSINESS PROFILE<br />Unique enterprise was established as a sole proprietorship in oct, 2010. Founded and directed by Sumit Modha. Unique enterprise located their office at the porbandar city and the unit is located at the pandavadar 10km away from porbandar city and on the porbandar Jamnagar highway<br />Location of Unit: Unique Enterprise,<br />Survey No. 08,<br />Village: - Pandavadar,<br />Dist. Porbandar-360579<br />Registered Office &: A-203, Shreeji Sankul Appt,<br /> Communication Near Zundala RailwayTrack,<br />Address Porbandar-360575<br />(0286) 2277416<br />2211675<br />+918866314209<br />Unique_Enterprise@Yahoo.In<br />www.uniqueenterprise/aloevera.com  <br />Product Manufacturing/Cultivating: Aloe Vera<br />Types of Firm: Sole Proprietorship Firm<br />Unit Location<br />The proposed location: Unique Enterprise,<br />  Survey No. 08,<br />  Village: Pandavadar,<br />  Dist. Porbandar-360579<br />The location is selected keeping in view all the necessary consideration and most affecting factor suitable climate for the Aloevera.<br />The important factor for location of Aloevera is climate, and other like raw-materials, infrastructure, labour, Govt. support, transportation and also personal factor is playing vital role. Let’s discuss it in detail below<br />,[object Object]
The most important and affected factor for cultivation of Aloevera is natural climate. It grows in the arid climate and it prefers a well drained sandy soil in sunny location. Aloevera needs the temperature of above 40 degrees. They should be potted in the spring season and watered carefully until established.
Raw - material:
Raw-material is also important for the production of any goods. Aloevera plant is propagated through the seed, plastic bags for packing of final product. It is easily available and no problem of short supply.
Infrastructural facility:
Infrastructure facilities like post & telegrams, Banking, Power, Soil land, Road & sea transportation all facilities are easily available for the purpose of quick transaction & transportation without any extra effort.
Labour:Educated, skilled, and unskilled laborers are required for smooth working of org. labour are available easily even unskilled labors are also available from locality.<br />,[object Object],The govt. policy of Gujarat is good and favorable. Govt. provides scheme for development and promoting the small scale industries situated in the Gujarat State. Govt. also provides long term & short term funds & subsidy to the small scale industries.<br />,[object Object]
As I born and lived here so the attachment with native is play vital role in selection of the location. I also like to start from here with some personal consideration and calculation.INTRODUCTION OF PRODUCT<br />Aloevera doesn’t need any introduction as it highly popular and widely used in the market. When we are talking about Aloevera plants they are mostly found in the regions of Africa but can be traced worldwide according to climatic conditions. There are around 250 species of Aloevera plants in the world. Aloevera plant size varies from one inch to a highly complex and spread out colonies consisting of thousand of plants ranging from 2 foot diameter to more. The most commonly known species of Aloevera plant is Aloe barbadensis.<br />Aloevera is cultivated throughout India. It is commonly found in Mumbai, Gujarat and South India. It mainly grows in the tropical and sub tropical areas. It grows well on sandy and well drained soil. Aloe Vera is a very popular potted plant. It is grown in houses for the decoration. Commercial cultivation and utilization of this plant with the application of technology can be of great value.<br />Aloevera have long been in use for a host of diseases, particularly those connected with the digestive system, treatment of wounds, burns and other skin troubles, eye troubles and liver ailments <br />OTHER NAMES OF ALOEVERA: <br />In English:<br />Cape aloe, Aloe Curacao, Barbados aloe, Venezuela aloe, Indian laces, Ghirita, Lu hui, Star Cactus are the other names used for the Aloevera. It is also called miracle plant, Burn plant, medicine plant and first-aid-plant. <br /> CHARACTERISTICS &USES<br />,[object Object],Aloevera grows to a height of 12 to 16 inches. It has a fibrous root system. It does not have stems. It has thick freshly leaves with sharp lancelets spines, which are up to 18 inches long and 2 inches wide at the base. Its leaves are even long and triangular in shape. The tissue in the center of the Aloe leaf contains a gel which yields the aloe gel. Its leaves are rich in water that is why it can survive for years. These leaves have spiky margins and are blotched creams. The roots of the plant are thick and fibrous. The fruit is the triangular capsule containing numerous seeds. It is the member of the Lilly family.<br />An evergreen perennial Aloevera grow at a slow rate. It is in leaf all year, in flower from May to June. The flowers are hermaphrodite (have both male and female organs).The plant prefers light (sandy) and medium (loamy) soils, requires well-drained soil and can grow in nutritionally poor soil. The plant prefers acid, neutral and basic (alkaline) soils. It cannot grow in the shade. It requires dry or moist soil and can tolerate drought. <br />,[object Object],Aloevera is a fairly well known herbal preparation with a long history of use. It is widely used in modern herbal practice and is often available in proprietary herbal preparations. Aloe Vera is the herbal plant, used to heal the burn marks. Aloe Vera cures the skin diseases.     It can also be used to remove dandruff from the hair. Aloe Vera is taken internally for the stomach disorders. The leaves of Aloe Vera are used for the treatment of facial edema or swelling. Its fluid is beneficial in reducing the inflammation and pain. Aloe Vera is used in cosmetics and even in the food industry. Curacao aloe acts as laxative, which is used against constipation. The fresh juice of its leaf blades can be applied directly to the ulcers, burns, sunburns, and fungal infection. Organic Aloe Vera juice reduces acidity. It prevents from fungus, influenza virus, measles, and high fever. <br />It has two distinct types of MEDICINAL USE. <br /> 1)The first one is of  clear gel contained within the leaf makes an excellent treatment or wounds, burns and other skin disorders, placing a protective coat over the affected area, speeding up the rate of healing and reducing the risk of infection. This action is in part due to the presence of aloectin B, which stimulates the immune system. To obtain this gel, the leaves can be cut in half along their length and the inner pulp rubbed over the affected area of skin. This has an immediate soothing effect on all sorts of burns and other skin problems. <br />2) The second use comes from the yellow sap at the base of the leaf. The leaves are cut transversally at their base and the liquid that exudes from this cut is dried. It is called bitter aloes and contains anthraquinones which are a useful digestive stimulant and a strong laxative. When plants are grown in pots the anthraquinone content is greatly reduced. The plant is emmenagogue, emollient, laxative, purgative, stimulant, stomachic, and tonic, vermifuge and vulnerary. Extracts of the plant have antibacterial activity. <br />Apart from its external use on the skin, Aloevera (usually the bitter aloes) is also taken internally in the treatment of chronic constipation, poor appetite, digestive problems etc. It should not be given to pregnant women or people with haemorrhoids or irritable bowel syndrome. The plant is strongly purgative so great care should be taken over the dosage. The plant is used to test if there is blood in the faeces. <br />,[object Object], Aloe Vera is a very popular potted plant. It is grown in houses for the decoration. The leaf sap is used to make a soothing and healing moisturizing cream, which is good for the dry skin. It is used in the making of anti wrinkle cream. It is even used in the preparation of shampoos. <br />BENEFITS:<br />,[object Object], Aloevera juice reduces acidity, detoxes, reduces pH levels and alleviates heartburn. Alleviates the Inflammation of the Digestive Tract, which is associated with Crohn's Disease. It also alleviates Constipation. <br />,[object Object]
 Aloevera reduces fever, prevents detrimental Bacteria, fungus, Influenza Virus, Measles Virus.
Musculoskeletal System – Aloe Vera gel applied topically accelerates the healing of Canker Sores (Mouth Ulcers); Decubitis Ulcers (Bed Sores); Burns; Herpes Simplex lesions; alleviates the Itching associated with Hives as well as alleviates Sunburn. <br />,[object Object],Aloe Vera herb has been known to help in anti-wrinkle creams and make up; it is also beneficial for the hair and scalp.<br />,[object Object],Plants have been grown indoors in pots in order to help remove toxins from the atmosphere. It is also unusual in that it continues to release oxygen and absorb carbon dioxide in the dark, making it very suitable for growing in bedrooms.<br />RAW-MATERIALS & ITS SUPPLIER<br />“Raw Material of product is just like bones of human body”<br />Materials are of pivotal importance in the manufacturing of a product. No production process is possible without raw material.<br />,[object Object],The main raw-material is seeds of aloe era which is available easily from :<br />Govt. nursery, <br />Mangrol.<br />The machinery is not important in our firm as its cultivation process, but for cutting of product it required.<br />,[object Object],Rajan machinaries,<br />03, royal market,<br />Ambawadi,<br />Ahmadabad<br /> <br />CULTIVATION PROCESS<br />,[object Object],Aloe Vera plant is propagated through the seed. It prefers a well drained sandy soil in sunny location. Aloe Vera needs the temperature of above 40 degrees. They should be potted in the spring season and watered carefully until established. It grows in the arid climate. They should be watered regularly in the summers. But over watering can kill the plant. It also grows in partial shade. It reaches the maturity in one year when the leaves are harvested.<br />,[object Object],Atmosphere or natural climate is important for plantation of Aloevera. It grows in the arid climate and it prefers a well drained sandy soil in sunny location. Aloe Vera needs the temperature of above 40 degrees. They should be potted in the spring season and watered carefully until established. It cannot grow in the shade. <br />,[object Object],After the suitable arid climate is prepared now seeds are planted very carefully in well drained soil.<br />,[object Object],After the plantation of seeds in well drained soil it’s time to keep care of planted seeds and watered in right time. After the 15 days the seeds are growing and become a plant. Plant is growing with slow rate so the maintenance is very carefully. Plant is fully growing after the 8 to 10 months and ready for harvesting.<br />,[object Object],Now, it’s time to harvesting the plant after fully developed. At this time of cutting the plant should take very care. And with the help of cutting machine it cut.<br />,[object Object],After the cutting of plant in proper manner it can store in warehouse.<br />,[object Object],Now it’s time to pack Aloevera in proper packing. Packing can be made with great care according to the requirement of customer.<br />PRODUCT DEVELOPMENT<br /> Product development is very important part for the any firm. Unique enterprise is has the capacity to develop their product and put new product to the customer<br />Unique enterprise deciding to put into action the following step as product development<br />,[object Object]
Variety of the new product shch as aloevera shampoo, powder, juice etc CAPACITY OF WORK<br />,[object Object],The installed capacity is refers to the capacity of work up to that level.<br />Installation capacity of any company or organization refers in the respect of 100%. <br />The installed capacity of Unique Enterprise is 80%.<br />,[object Object],The utilized capacity is refers to the actual capacity of work up to that level. The utilized capacity is never Exceeds the installed capacity. The utilized capacity of Unique Enterprise is 40%<br />TECHNOLOGY DEPLOYED:<br />If we want to survive in long time into the market for that we have to adopt the new and updated technology. There are certain benefit we get for using technology which are as under.<br />Maintain quality of the product.<br />Lower the production cost.<br />Required less number of labour.<br />Enhance the life of the product.<br />Produced best quality product.<br />PRODUCT AND SERVICES IN THE PIPELINE:<br />It tell that new innovation and research is on that base some new product is waiting to come into the market and some services also remain to provide is called product or services in the pipeline. <br />IMPLEMENTATION SCHEDULE<br />No.ParticularDays1.Acquisition of land and building15 Days2.Arrangement of Power10 Days3.Acquisition of Machinery25 Days4.Installation of Machinery (including trial runs)15 Days5.S.S.I. Registration30 Days6.Financial ArrangementFor MachineryFor Others20 Days10 Days7.Staff Appointment10 DaysTOTAL135 Days or 4.5 months approx<br />ORGANIZATIONAL PLAN<br />The organizational plan describes the form of ownership and lines of authority and responsibility of members of new venture.it is also helpful to provides an organization chart indicating the line of authority and  the responsibility of the members of organization.<br />Form of Ownership<br />There are three basic legal forms of business formation and one new form that is gaining acceptance. The three basic legal form are<br />Proprietorship<br />,[object Object]
CorporationWe are going to start the business is the “sole proprietorship firm”. proprietorship is a form of business owner who has unlimited liability, controls all decisions, and receives all profits.<br /> Size Of Organization<br />Generally industries are classified into different size based on different factors such as number of employees, investment, limit etc. the government defines industries on the basic of its capital investment.<br />According to it, industries can be defined as under :<br />Small Scale Industry<br />Medium Scale Industry<br />Large scale industry<br />So far as the definition of SSI is concerned,”the maximum investment is of Rs.3 crores.”<br />So “unique enterprise” is falls under the category small scale industry.<br />ORGANIZATION STRUCTURE<br />Term organizing means the process of identifying activities to be performed grouping these activities into work units, assigning task to job position defining their activity roles and establishing authority – responsibility relationship among them. It involves determination and orderly arrangement of task, function, roles and relation required for achievement of organizational goals.<br />Mainly there are three types of organization structure are as under.<br />Line organization <br />Functional organization <br />Line and staff organization <br />“unique enterprise” Adopts line type of organization .power flow from top level management to bottom level employees and responsibilities flow from bottom level to top level management.<br />OWNER<br />MANAGER<br />   WORKERWORKER              WORKERWORKER<br />HUMAN RESOURCE PLANNING<br />As the blood is necessary in the body likewise workers are also very important to run a big industry. No business enterprise can exist and function without workers. Workers hold a key place in business. The growth of business also depends mainly on the willingness and ability of its workers. Proper hard work of workers helps the business to get near to the success.<br />IN THE WORDS OF “JAMSHED JI TATA”<br /> “WORKERS ARE THE ASSETS OF THE COMPANY, SO MANAGEMENT OF WORKER IS VERY IMPORTANT FOR EACH AND EVERY FIRM.”<br /> Personnel management is very important for running smooth and successful business unit. If the manpower is being properly utilized, the company can achieve their objective easily and quickly.<br />Unique Enterprise is the sole proprietorship and also small scale. Therefore it is has only 8 employees.<br />WAGES AND SALARY<br />Wages and the payment made to the employees as compensation for the service rendered by them. It is their payment of capability as per their hard work and efficiency. Unique Enterprise gives wages to the workers as<br />Skilled Rs. 2,000/- to Rs. 3,000/- (Monthly)<br />UnskilledRs. 1500/-(Monthly)<br />The term salary refers to the reward to be paid to the employees those who engage in clerical and official work. Salaries are also paid to the white collar employees.<br />Salary paid to specialized persons in the unit is between Rs. 3000 to Rs. 5000 as per their different skill.<br />MARKETING PLAN<br />In the marketing plan includes how the company marketed their products and covers the more market in operating stage. It mainly concern about the strategy which they will using so that they can success in the market.<br />Marketing plan is mainly helpful to know the present market condition and situation by the way of marketing research. It includes the price, product, place and promotion.<br />CHANNEL OF DISTRIBUTION<br />Production is made to satisfy the needs of consumer. So it reach to the consumer from whom it is made thus a way through which goods flow from the producer to the consumer is called  channel of distribution.<br />Distribution channel may be defined as a path traced in the direct or indirect transfer of title to product, as it moves from a producer to the ultimate consumer or industrial use.<br />CHANNEL OF DISTRIBUTION<br />MANUFACTURER<br />DEALER<br />RETAILER<br />CONSUMER<br />PROMOTION<br />Promotion is an important in new product. It refers to the combination of various instruments of sales promotion. It attempts are not made to promote sales continlaisly, some efforts necessary even to maintain the business as its current level. These efforts can be divided in to four groups. Personal sealing, advertising, sales promotion and publicity. The combination of these four collectivity known as promotion mix.<br />Usually a firm chooses more than one type of promotional tools and the manager of the firm is decide – how he is going to choose the communication medium and bled them in an effective promotion program this firm also uses all the four types of promotion mix’s tool in their marketing activity.<br />Various types of promotion techniques are as under.<br />,[object Object]
Sales promotion

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