We are trying to develop our working and branding of our Brand in international markets of Denim and Leathers Products. And i hope you all my friends and supporting members are always support us. Our aim to gives you best and new generation of denim products. Thanks To All * Our Investor partners * Working Partners * Media Partners And Our All Working Staffs........

1. Content
I. Introduction
II. Personal Information
III. Type of unit & Site selection
IV. Cost of Project
V. Means of Finance
VI. Preliminary and Preoperative Expenses
VII. Production Programmed
VIII. Production Process
IX. Manpower Requirement
X. Utilities
XI. Administrative Expenses
XII. Break Even Calculation
XIII. Project Implementation Schedule

2. Introduction
R4U DENIM FACTORY is a jeans factory, we are working in these same
industries for last 2 years, we have accumulated abundant experience in
jeans field. In our factory we have designers to design our styles and we can
also Manufacturing and Trading jeans, Own brand and other brands
according to customer's requirement. During the last years Domestic Level
business we have established stable and long-term business relationships
with many Local Domestic clients, our products have been Delivered to
regions, such as U.P ( All ), Rajasthan, uttarakhand, Patna (Bihar) etc...
And Our Mission to spread our branches and working passion to all overseas,
Interesting, to interest show in working with us, please contact us:
Like: Dealers, Distributors or Investors Are Most welcome to be a part of us.
R4U DENIM FACTORY Co. is a team of young & dynamic professional
designers in the trade of denim jeans & other clothing, we are manufacturing
and trading to producing high quality custom made men's & women's denim
clothing such as Jeans, Jackets, Shirts, Skirts and Trousers etc. in a very
budget price.
Our mission is to develop sense of designing attire, especially for yourself
and to make you feel confident and comfortable while wearing jeans or other
clothes. When you wear jeans or any other clothes which you have designed
for yourself and when it fits you as per your desired measurements &
fittings; it is the most confident feeling you would ever have.
The areas of specialization is in Denims and non-denims, initially we started
this custom made manufacturing for bottoms only and then later we will
expand it to other line of products like denim jackets, denim shirts, denim
trousers, denim skirts, denim shorts & other non - denim clothing's.
We have come up with an idea of providing custom made and manufactured
jeans for customers especially boys, girls, kids, men & women and big & tall,
who usually don't get jeans that fits them as per their desired aesthetic &
measures. We wanted to see a confident smile on our customer's face when
they wear jeans that especially designed and manufactured for them, which
normally customers' don't get in mass-manufactured jeans.

3. Manufacturing Processes.
Dyeing
Traditionally, jeans are dyed to a blue color using indigo dye. Some other colors that
can be achieved are pink, blue, yellow, black, and white. These colors are achieved by
coloring other fabrics to resemble jeans. Approximately 20 million tons of indigo are
produced annually for this purpose, though only a few grams of the dye are required for
each pair of these trousers.
For more information on dyeing, refer to denim and the discussion there of using
pigment dyes.
Pre-shrinking of jeans
In the 1970s Hal Burgess first marketed "pre-washed" jeans. He was a salesman for his
father, who owned a large jean manufacturing company in Cartersville, Georgia. While
on a sales trip, there was a flood in the hotel room where Burgess was storing jeans. He
asked the hotel owner if he could rent out the pool to wash the flooded jeans. The jeans
shrunk but Hal decided to market them as 'pre-washed' jeans and sold them two sizes
smaller than they were initially labeled. This was the first time 'pre-shrunk' jeans were
marketed.
Used look created by sandblasting
Many consumers in Western societies are willing to pay extra for jeans that have the
appearance of being used. To give the fabrics the right worn look sandblasting is used.
Sandblasting has the risk of causing silicosis to the workers, and in Turkey, more than
5,000 workers in the textile industry have been stricken with this disease, and 46 people
are known to have died. Sweden's Fair Trade Center conducted a survey among 17
textile companies that showed very few were aware of the dangers caused by
sandblasting jeans manually. Several companies said they would abolish this technique
from their own production.
13 fun facts about Blue Jeans!
If there’s single a universal piece of clothing that has been consistently
popular and fashionable from the age of cowboys and further back, that’s
Jeans.

4. But it turns out the idea of Blue Jeans as something that originated in the
old West is actually a popular misconception. Did you know that jean-like
trousers have been dated back as far as 16th century India?
Although the term jeans are somewhat more recent, jeans in fact represent
a rather timeless fashion trend… which probably comes as no surprise to
you.
The history of Jeans: Origins
What you might not know is how the word “Jeans” was derived from the
name of place where these special pants were originally sold: the harbor town
of Genoa, in Italy. According to popular legends, people referred to those
sturdy work clothes as the “bleu de Gênes”, and thus the term Blue
Jeans became popular. Similarly, the name of the raw material which was use
in the manufacture of such pants was named after the French town of
Nîmes, thus the word Denim (as abbreviated from “de Nîmes”).
Some interesting facts about Blue Jeans:
1) The common idea that Jeans were invented by cowboys is more of
romanticism than a matter of fact. Although they did favor these kinds of
pants because it was durable, it was not invented at the time.
2) The oldest Jean-like pants made of denim date back to the 16th Century
in India; these pants were word by sailors in the city of Dhunga, thereby the
reason why these trousers were referred to as Dungarees, back then.
3) The word “Denim” is a reference to the french town of “Nîmes”, where the
textile was developed; this rugged cotton fabric “de Nîmes” was long known
for its sturdiness.
4) The reason why this notable studiness is achieved is because weft
undergoes double, triple or multiple warp threads, during the weaving
process.
5) It was in the 19th century that Jeans became wildly popular in the USA,
thanks to one Mr. Levi Strauss who started selling them as sturdy work
clothes for miners. He also held the patent for riveted jeans.
6) Levi Straus received the U.S.Patent No.139, 121 for his improved jeans
design on May 20, 1873; for this reason, the 20th of May is regarded to this

5. day as the birthday of the Blue Jeans… although it would more accurately be
described as the birthday of Levi’s Jeans.
7) From a single bale of cotton, weighing 500 pounds, over 200 pairs of jean
scan be made… meaning that it takes over 2 pounds of cotton to make a
single pair of Jeans.
8) It was in the middle of the XX century that Jeans (then known as
“overalls”) were popularized and became widespread through Europe,
because American Soldiers wore then when off-duty.
9) Jeans became widely popular in the USA at the same time, much thanks
to the Hollywood legend Jammed down, who wore Jeans in the movie Rebel
without a cause; at this time, and they became a symbol of youth rebellion.
10) Blue Jeans were regarded as a disruptive fashion statement in the
1950′s, and people were actually banned from schools, cinemas and
restaurants for wearing them.
11) Through the 1960′s, Blue Jeans keep growing in popularity, and became
even more widespread as a symbol of change.
12) At the dawn of the XXI century, each American is estimated to own 7
pairs of blue jeans.
13) Currently, Jeans are unquestionably the most popular and widespread
piece of casual wear, and they are sold by the tens of millions each year.
How’s that for a fashionable progression
The 18th century
At first, jean cloth was made from a mixture of things. However, in the eighteenth century as
trade, slave labour, and cotton plantations increased, jean cloth was made completely from
cotton. Workers wore it because the material was very strong and it did not wear out easily. It
was usually dyed with indigo, a dye taken from plants in the Americas and India, which made
jean cloth a dark blue colour.

6. 19th Century
1848: gold was found in California and the famous Gold Rush began. The gold miners wanted
clothes that were strong and did not tear easily.
1853: a man named Leob Strauss left his home in New York and moved to San Francisco,
where he started a wholesale business, supplying clothes. Strauss later changed his name from
Leob to Levi. A big problem with the miners' clothes were the pockets, which easily tore away
from the jeans. A man called Jacob Davis had the idea of using metal rives to hold the pockets
and the jeans together so that they wouldn't tear. Davis wanted to patent his idea, but he didn't
have enough money.
1872: Davis wrote to Levi and offered Strauss a deal if he would pay for the patent. Strauss
accepted, and he started making copper-riveted "waist overalls" as jeans were called then.
1873: The first riveted clothing was made and sold
1886: Levi sewed a leather label on their jeans. The label showed a picture of a pair of jeans
that were being pulled between two horses. This was to advertise how strong Levi jeans were:
even two horses could not tear them apart.

7. 1891: Levi Strauss & Co.'s patent for riveted clothing goes public and dozens of companies
begin to use the idea
20th Century
How jeans became popular
The 1930's: Westerns
In the 1930's, Hollywood made lots of western movies.
Cowboys - who often wore jeans in the movies-became very
popular. Many Americans who lived in the eastern states
went for vacations on 'dude ranches' and took pairs of denim
'waist overalls' back east with them when they went home.
The 1940's: War
Fewer jeans were made during the time of World War 2, but 'waist overalls' were introduced to
the world by American soldiers, who sometimes wore them when they were off duty. After the
war, Levi began to sell their clothes outside the American West. Rival companies, like Wrangler
and Lee, began to compete with Levi for a share of this new market.
The 1950's: Rebels
In the 1950's, denim became popular with young people. It was
the symbol of the teenage rebel in TV programmes and movies
(like James Dean in the 1955 movie Rebel Without a Cause).
Some schools in the USA banned students from wearing denim.
Teenagers called the waist overalls 'jean pants' - and the name
stayed.
The 1960's: Hippies & the Cold War
In the 1960's many, many university and
college students wore jeans. Different styles of jeans were made, to match the
60's fashions: embroidered jeans, painted jeans, psychedelic jeans...
In many non-western countries, jeans became a symbol of 'Western
decadence' and were very hard to get. US companies said that they often
received letters from people all around the world asking them to send the
writer a pair of jeans
The 1970's: Sweatshops

8. As regulations on world trade became more relaxed in the late 1970's, jeans started to be made
more and more in sweatshops in countries in the South. Because the workers were paid very
little, jeans became cheaper. More people in the countries of the South started wearing jeans.
The 1980's: Designer Jeans
In the 1980's jeans finally became high fashion clothing, when famous designers started making
their own styles of jeans, with their own labels on them. Sales of jeans went up and up.
The 1990's: Recession
In the worldwide recession of the 1990's, the sale of jeans stopped growing. The Youth market
wasn't particularly interested in 501s and other traditional jeans styles, mainly because their
parents: the generation born in "blue" were still busy squeezing their aging bodies into them.
Since no teenager would be caught dead in anything their parents were wearing, the latest
generation of rebellions youth turned to other fabrics and styles. They still wore denim, but it
had to be in different finishes, new cuts, shapes, styles, or forms. Jeans were named the "single
most potent symbol of American style on planet earth".
And the 21st century......?

9. Personal Information about Promoters
 Company Name: R4U DENIM FACTORY
 Owner Name: Mr. Karan singh
Address: 758, 3rd floor Chirag Delhi, New Delhi-110017
Date of birth: 27st April Age: 22 Years: 1993
 Co. Owner Name: Mr. Sonu singh Chauhan
Address: 758, Chirag Delhi, New Delhi-110017
Date of birth: 28st November, 1984 Age: 30 Years: 1984
Educational Qualification: B.A Graduate
Type of unit and site selection:
i. Name of unit: R4U DENIM FACTORY
ii. Address: Taz-Pur Gaon, Near Echelon industrial Area, Faridabad (Haryana)
iii. Type of unit: Garments (Jeans)
iv. Requirement of Land and Building (Sq. yards/ sq. meters.):
Land: 1400 yards
Building: 2000 Sq. ft.
v. Scale of the organization: Small scale industry
vi. Estimated cost of project: …..Not Mention….
vii. Market area: Limited to Pan-India

10. Cost of Project
The sum total of all funds required to complete a business purchase transaction.
What It Means
Typical project costs include:
 Business purchase price.
 Working capital.
 Closing costs.
 Professional fees such as those charged by the CPA and attorney.
 Lender fees.
 Business appraisal fees.
 Business license fees.
We need to set a budget for the business purchase which includes all expenses. In asset business
purchases, the seller typically retains cash and short-term investment assets. The buyer then will need to
inject additional funds into the business to ensure that it has sufficient working capital.

11. Particulars Amount
Land 11.50,000
Land development expenses 1,50,000
Plant & Machinery 19,00,000
Other Fixed Assets 8,50,000
Computer 50,000
Working capital margin 19,41,500
Total 60,41,500
Means of Finance
The cost of the project as stated above is suggested to be met through the following sources:
SSoouurrcceess ooff FFuunndd
No. Particulars Percentage Amt. (Rs.)
1 Owned Capital 40% 24,51,200
2 Borrowed Capital 60% 36,24,900
Total 60,76,100
Preliminary & Pre-Operative Expenses
Preliminary & pre-operative Expenses is 50,000

12. Production Programmed
 Raw Material:
The main raw materials required to produce the Jeans are Denim & cotton clothes,
thread, button, rivet, zip, stickers.
 Product & its use:
The popularity and the demand of Jeans are increasing day by day. Jeans
have left behind the tailor made cloth. Consumer can wear Jeans casually with shirt
or short shirts & T-shirts. Today, consumers wear Jeans even with blazers. Even in
villages people have started wearing Jeans. Each & every class of people wears
Jeans. So, we can say that it can be matched in any style and it can be change your
style.
Sources of Raw Material
Generally, the raw material of Jeans is available from outside Gujarat.
Sr. no. Material Sources
1 Denim Cloth Mumbai,Delhi,
TriPur
2 Cotton Cloth Delhi
3 Thread Delhi
4 Button Delhi
5 Rivet Delhi
6 Zip Delhi
7 Stickers Lucknow
8 Plastic Delhi
9 Washing acid Delhi

13. INPUTS
Materials
Labour
Capital
Energy
Information
RESOUCRC
ES
OUTPUTS
Products
Service
Information
Products or
Services
PRODUCTION
FUNCTION
Production Process

14. Produces the Jeans in the following steps
Over lock
Embroidery Work
Stitching Process
Fitting
Washing
Ironing
Folding
Packing
Storing

15. Manpower Requirements
TOP LEVEL
No. Particulars No. of
Employees
Monthly
Salary
Yearly
Salary
1 Manager 2 14,000 1,68,000
2 Accountant 1 5,000 60,000
3 Designers 1 5,000 60,000
Total 24,000 2,88,000
MIDDLE LEVEL
No. Particulars No. of
Emp.
Monthly
Salary
Yearly
Salary
1 Salesman 5 15,000 1,80,000
2 Clerk & computer
operator
1 2,500 30,000
3 Store keeper 2 3,000 36,000
Total 20,500 2,46,000

16. Lower Level
No. Particulars No. of
Emp.
Monthly
Salary
Yearly
Salary
1 Stain stitch machine
Operator
6 15,000 1,80,000
2 Simple stitch machine
Operator
10 20,000 2,40,000
3 Folding machine Operator 1 1,500 2,40,000
4 Washing machine Operator 1 1,200 18,000
5 Cutting & Fitting machine
Operator
1 1,500 14,400
6 Embroidery machine
Operator
2 3,000 36,000
7 Over Lock machine
Operator
1 1,500 18,000
8 Printing machine Operator 1 1,500 18,000
9 Iron Machine Operator 1 1,200 14,400
10 Packing machine Operator 1 1,200 14,400
11 Watchman 2 2,900 34,800
Total 50,500 606000
Level Of Management
Levels Of Management Monthly
Salary
Annual
Salary
Top Level 24,000 2,88,000
Middle Level 20,500 2,46,000
Lower Level 50,500 6,06,000

17. Utilities & Overhead Costs
Utility
No. Particulars Qty. Rate Monthly Annually
1 Electricity 25KWH 5 10,000 1,20,000
2 Water - - 1,500 18,000
Total 11,500 1,38,000
MMaaiinntteennaannccee && RReeppaaiirr
No. Particular Value Rate Amt.
1 Building 11,50,000 5% 57,500
2 Machinery 19,00,000 5% 95,000
3 Other Fixed Assets 9,00,000 5% 45,000
Total 1,77,500

18. Administrative Expenses
No. Particular Monthly Annually
1 Telephone 1,500 18,000
2 Postage & stamp Duty 500 6,000
3 Advertising & Marketing 7,000 84,000
4 Consumer stores 1,200 14,400
5 Miscellaneous 1,000 12,000
Total 11,200 1,34,400

19. Analysis of Break Even Point (BEP)
Break-even analysis is a scientific analysis, which leads producers
towards more systematic and scientific production planning or sales
planning. It is because of break-even analysis that the firm can accordingly
work out the required size of the plant. By break even analysis the small-
scale entrepreneur can get proper guidelines about volume of sales to be
achieved to avoid the danger of loss.
Break-even analysis indicates a point where total revenues are equal
total cost. It means a volume of sales where firm earns neither profit nor
suffers loss in called Break-even point.

20. Particulars Amt. (Rs.) Amt. (Rs.)
Sales 88,15,000
(Less) Variable Cost
Raw Material 51,97,200
Utilities 1,38,000
Manpower 6,06,000
Admin. Exp. 1,34,400
Other contingencies 36,000 61,11,600
Contribution 27,03,400
(Less) Fixed Cost
Manpower 5,34,000
Depreciation 6,80,000
Maintenance & Repairs 1,97,500
Insurance 20,000
Int. on loan 6,43,498 20,74,998
Profit Before Tax (PBT) 6,28,402
(Less) 35% Tax 2,19,941
Profit After Tax (PAT) 4,08,461

21. BEP = Fixed Cost
Contribution
= 20, 74,998 x 60% = 46.05%.
27, 03,400
BEP (Rs.) = Fixed cost x sales
Contribution
= 20, 74,998 x 88, 15,000= 67, 65,512 Rs.
27, 03,400
No. Particulars Amt. (Rs.)
1 Sales 88,15,000
2 Variable cost 61,11,600
3 Fixed Cost 20,74,998

22. RRaattiioo AAnnaallyyssiiss
Return on Investment
ROI = EBIT x 100
Project Cost
= 12, 71.900 x 100
60, 41, 500
= 21.05%
EBIT = PBT + TOTAL INTEREST
= 6, 28,402 + 6, 43,498
= 12, 71,900
Net Profit Ratio
NPR = PAT x 100
Sales
= 4, 08,461 x 100
88, 15,000
= 4.63%

23. Fixed Assets Turnover Ratio
F.A.T.R. = Sales
Fixed Assets
= 88, 15,000 = 2.23%
39, 50,000

24. Project Implementation Schedule
We take maximum one and half year to implement this type of project
the time required for completing each activity of the project till commercial
production is as follows:
No. Activity Completion
Time
1 Preparation of Project 1 month
2 Selection of a site 2 months
3 Registration of SSI 1 month
4 Availability of finance 3 months
5 Construction of building 6 month
6 Arrangement of machines &
equipment’s
1 month
7 Erection & commissioning including
electrification
1 month
8 Recruitment of personnel & Labor 2 month

25. Annexure – 1
Cost of Plant & Machinery
Details of Plant & Machinery
No. Particulars Qty. Amount (Rs)
1 Simple stitch machine 10 2,00,000
2 Chain stitch machine 6 4,80,000
3 Folding machine 1 1,50,000
4 Stain removing machine 1 70,000
5 Washing machine 2 3,00,000
6 Cutting machine 1 2,00,000
7 Fitting machine 1 1,00,000
8 Embroidery machine 2 1,00,000
9 Iron 1 25,000
10 Printing machine 1 75,000
11 Over lock machine 2 1,00,000
12 Logo-making machine 1 25,000
13 Handling equipment - 75,000
Total 19,00,000

26. Annexure – 2
RRaaww MMaatteerriiaall RReeqquuiirreemmeennttss
No. Particulars Qty. Rate Monthly Annually
1 Denim cloth 3000 m 80 2,40,000 28,80,000
2 Cotton cloth 1500 m 60 1,20,000 14,40,000
3 Thread - 15,000 1,80,000
4 Button 6000 0.7 4,200 50,400
5 Zip 5000 4.8 24,000 2,88,000
6 Stickers 7000 1.5 10,500 1,26,000
7
Pocketing
Clothes
500 m 8 4,000 48,000
8 Plastic Box 2700 2 5,400 64,800
9
Washing
Acid
500 lt 20 10,000 1,20,000
Total 4,33,100 51,97,200
Utility
No. Particulars Qty. Rate Monthly Annually
1 Electricity 25KWH 5 10,000 1,20,000
2 Water - - 1,500 18,000
Total 11,500 1,38,000

27. Annexure – 3
TToottaall WWoorrkkiinngg CCaappiittaall
Annexure – 4
Depreciation Calculation
No. Particular Monthly Annually
1 Raw Material 4,17,700 50,12,400
2 Utility 11,500 1,38,000
3 Wages & salary 95,100 11,41,200
4 Administrative Exp. 11,200 1,34,400
5 Other contingencies 3,000 36,000
Total 5,30,500 64,26,000
No.
Particular Value Rate Amt.
1 Building 11,50,000 15% 1,72,500
2 Machinery 19,00,000 20% 3,80,000
3 Other Fixed
Assets
8,50,000 15% 1,27,500
4 Computer 50,000 20% 10,000
Total 6,90,000

28. Annexure – 5
Interest Calculations
Annexure – 6
Cost of Production & Profitability
No. Particulars Percentage Amt. (Rs.)
1 Owned 9.5 % 3,44,365
2 Borrowed Loan (SBS) 12.5 % 3,02,075
Total 6,43,498
No. Particulars Amt. (Rs.)
1 Raw Material 51,97,200
2 Utilities 1,38,000
3 Manpower 11,40,000
4 Repairs & Maintenance 1,97,500
Total 66,72,700

29. CCoosstt AAnnaallyyssiiss
Particulars Amt. (Rs.) Amt. (Rs.)
Variable Cost
Raw Material
Denim Cloth 28,80,000
Cotton Cloth 14,40,000
Thread 1,80,000
Button 50,400
Zip 2,88,000
Stickers 1,26,000
Pocketing Clothes 48,000
Plastic box 64,800
Washing Acid 1,20,000
Other contingency 36,000 52,33,200
Semi Variable Cost
Utilities 1,38,000
Administrative Exps. 1,34,400
Man Power (Lower Level) 6,06,000 8,78,400
Fixed Cost
Preliminary & Pre-operative expenses written off 50,000
Man Power (Middle & Top level) 5,34,000
Interest on capital 6,43,498
Depreciation 6,90,000
Repairs & Maintenance 1,97,500 21,14,998
Total Cost 82,26,598

30. PPrrooffiittaabbiilliittyy AAnnaallyyssiiss
Particulars Amt. (Rs.) Amt. (Rs.)
Sales 88,15,000
(Less) Variable Cost
Raw Material 51,97,200
Utilities 1,38,000
Manpower 6,06,000
Admin. Exp. 1,34,400
Other contingencies 36,000 61,11,600
Contribution 27,03,400
(Less) Fixed Cost
Manpower 5,34,000
Depreciation 6,80,000
Maintenance & Repairs 1,97,500
Insurance 20,000
Int. on loan 6,43,498 20,74,998
Profit Before Tax (PBT) 6,28,402
(Less) 35% Tax 2,19,941
Profit After Tax (PAT) 4,08,461