2. Contents
1. Introduction
2. Business Model
3. How it works?
4. Why we choose this?
Old Approach VS Modern Approach
Choosing the best Approach?
5. Advantages
6. Limitations
7. Financial Structure
Analysis of revenue, operating &
fixed costs
Profit/Loss & Balance Sheet
Notes to Accounts
8. Cost Analysis
9. Break Even Point Analysis
10.Conclusion
3. Technology has made our lives easier and our future a lot better. One of the
technological upgrades which directly helped us in upgrading our living standards
is the concept of doorstep delivery. Earlier it was only food, clothes, groceries, or
essentials that could be delivered to the doorstep. But now, even energy is being
delivered online with petroleum product to reach its end-users.
In this ppt we will tell u all about how and why this modern technology helps us
to be more standard in this field. This approach mainly beneficial for rural areas as
well as high altitude areas because in both the areas there is no easy access to
petroleum. There are lot of farm equipment’s which needs fuel. The villagers have
to come to city for fuel which is always time-consuming activity.
In this we talk about all the tools and structure, how it works, how Financially it is a
beneficial to the economy and other Accounts Analysis will be done in this whole
presentation.
4. In rural areas there is no easy access to petroleum in rural areas. There are lot of farm
equipment’s which needs fuel. The villagers have to come to city for fuel which is always time-
consuming activity. The main aim of launching this service in Mumbai, Haryana, Bihar, Andhra
Pradesh, Delhi, U.P. and other states also to ease the lives of the end consumers without the
hassles of oil procurement.
The government approved the doorstep Petroleum Products delivery system and is the new
age concept of effective distribution of Petroleum Products. It allows fuel start-ups to maintain
quality and create the availability of fuel for the consumers. The system will hugely benefit the
agricultural sector, hospitals, housing societies, heavy machinery facilities, mobile towers and
much more.
The idea of initiating door-step delivery of motor fuels was floated in 2017. Sometime
later, Indian Oil, Bharat Petroleum & Hindustan Petroleum had started pilot projects in
this space. The initial recipients for diesel delivery were stationary installations such as
telecom towers and diesel generator sets. Now it works on whole petroleum products
Business
Model
8. We get your fuel directly, saving time &
money and saving costs. Enjoy Hassle-
Free Petroleum delivery
The dispensing unit is
certified by the government
approved Weights &
Measures department. Fuel
is delivered to the customer
specified locations through
Geofencing, only after the
Choosing the best
approach
9. Customer doesn’t need
to go to Petrol Pump.
Safe & secure
transaction of payments
For Entrepreneur.
Less capital investment.
Less maintenance &
Unloading Charges.
Low labour compared
to old concept.
10. Frequent out stocks due
to more demand.
Storage &
transportation problem
due to unfavourable
climatic condition.
More loading &
unloading cost.
02 03
01
11. …₹inancial
$tructure…
Financial structure refers to the
mix of Assets and Liabilities that
a company uses to finance its
operations.
This composition
directly affects the risk
and value of the
associated business.
The financial managers of the business have the responsibility of deciding the best mixture of assets and liabilities
for optimizing the financial structure.
12. Analysis of Revenue, Operating & Fixed
Costs.
Revenue- It is the total amount of income generated by the sale
of goods & service related to the primary operations of the business.
Commercial revenue may also be referred to as sales or as turnover.
Operating Cost- These are the ongoing expenses incurred from the
normal day-to-day of running a business. We can also term it as
working capital. Examples of operating costs include: repair &
maintenance, advertisement costs, etc.
Fixed cost- It is a cost that does not change with an increase or decrease
in the amount of goods or services produced or sold. Examples : license
fee, IOCL charges, audit fees, vehicle insurance, etc.
16. Calculation of Break Even
Point
Sales 18,75,62,502.37
Less: Operating Cost
Cost of Material 18,17,81,440.19
Variable Expenses 22,83,573.61 18,40,65,013.80
Contribution 34,97,488.57
Less: Fixed Cost 10,55,386.45
EBITDA 24,42,102.12
Less: Depreciation 13,32,007.00
EBIT 11,10,095.12
PV Ratio (Contribution/Sales) 1.86%
Break Even Point Analysis
Break Even Point (Fixed Cost/PVR) = 56,598,019
17. On-demand fuel delivery started off as a novelty and quickly gained
popularity. Now diesel delivery services are available in major cities across
the country and is seeing a positive spike in expansion to more areas.
Once regulation becomes standardized there will be an explosion of on-
demand fuel service due to its convenience and better utilization of scarce
resources. Not to forget the immense value for time and money, the
customers stand to gain.
This collective change initiated by the oil marketing companies and various
startups, will help in reducing carbon footprints, eliminate pilferage, zero
wastage of fuel, no over-billing, quality and quantity assurance thanks to
technology that only unlocks the mobile dispensers at the destination.
CONCLUS
ION
18. Submitted By:
Prity Sikha Sahu (321SM1033)
Sthitaprajna Das (321SM1012)
Nirlipta Ranjan Panda
(321SM1027)
Shailaja Samal (321SM1035)
Deepak Ranjan (321SM1032)