2. CONTENTS
• Introduction
• Raw Material Study
• Location Study
• Demand study
• Technical Study
• Infra requirement
• Cost analysis
• Source of Finance
• Financial Analysis
• Profit Analysis
3. INTRODUCTION
• Making of PIZZA under the section of small scale
food industry.
• It’s a contribution to the society as the motto is
to feed the hungry at best of cost and most of
food.
• But my Target costumer are mostly students
population.
• The reason behind my this is that most of the
youngsters are attracted towards fast food as it is
convenient to eat and fast to order.
4. RAW MATERIAL
• PIZZA BASE
• OIL
• CHEESE
• TOMATO
• CAPSICUM
• OLIVE(BLACK)
• JALEPINO
• ONION
• BABY CORN
• COCA COLA (DRINKS)
• GREEN CHILLIES
• SALT
• SAUCE
5. LOCATION STUDY
• LOCATION for plant and its outlet establishment
is chosen in BHILAI and DURG district of CG.
• AREA OF LAND:-Area required for production is
about 0.4 acre of land in JUNWANI of BHILAI @10
LAKH PER ACRE.
• OUTLETS:- Outlets are proposed in 3 locations of
size 1000 sqft i.e. junwani, deepak nagar near BIT
college Durg, civic center sector and near CSIT
college
7. cont….
• TRANSPORTATION:- Rented vehicles for
transportation and supply are easily available
near the working site.
• POWER :
Electricity is easily available throughout 24 hrs.
CSEB has established Power sub station in Bhilai.
• OTHER FACILITIES :
The amenities like Post office, Banks, Police
station, Petrol Pumps, Canteen, Bus services etc.
are available in this area.
8. DEMAND STUDY
• The demand of my product is directly
dependent on its location.
• As I have no competition around my product
except PIZZA HUT , but still the demand for
pizza will be high to full both the companies.
• Also my concentration will be on the students
crowd only which has a very high demand
probability
9. Cont…..
• Also there are around 13 to 15 colleges
including very big brand school in BHILAI and
DURG.
• Which includes students on average of about
1000 per college
• And expected demand is about 15% 0f
average per college.
11. PLANT CAPACITY
• PRODUCTION OF PIZZA
TOTAL NUMBER OF PIZZA /DAY= 300 UNITS
VARIETY QUANTITY COST/unit
VEGGIE 100 100
VEGGIE DELUXE 100 150
VEGGIE SUPEREME 100 200
12. IMPLEMENTATION SCHEDULE
PROCESS EXPECTED TIME
Purchase of land 1 Month
Sanction of loan 3 Month
Purchase of equipment 1 Month
Construction plant 5 Month
Hiring workforce 1 Month
Trial run 1 Week
Total Time : 8 Month
13. WORKFORCE REQUIREMENT
DESIGNATION NUMBER SALARY
PLANT MANAGER 1 25000
PRODUCTION MANAGER 2 20000/PERSON
TRANSIT MANAGER 1 20000
DELIVERY MAN 3 10000/PERSON
COOK 5 10000/PERSON
SALESMAN 6 10000/PERSON
ACCOUNTANT 2 10000/PERSON
SECURITY 2 10000/PERSON
TOTAL 20 235000 INR
14. MACHINE REQUIREMENT
COMPONENT NUMBER PRICE
OVEN 3 4,10,000/OVEN
UTENSILS 50000 INR
HOT BOX 3 20000/EACH
TOTAL : 13,40,000 INR
Depreciation on Machines & Equipments @10% 14,74,000 INR
18. CONT….
• TOTAL REVENUE / ANNUM= 1,62,00,000 INR
• TOTAL PRODUCTION COST/ ANNUM= 1,09,20,000
INR
• GROSS PROFIT/ANNUM= TR-TPC
=16200000-10920000
=52,80,000 INR
• TAX DEDUCTION = 30% of GROSS PROFIT
=15,84,000 INR
• NET PROFIT = GP-TD= 36,96,000 INR
19. CONT….
• RATE OF RETURN= NET PROFIT/ TOTAL
CAPITAL INVESTMENT
=(36,96,000/1,39,60,000)*100
=26.47 %
• PROFIT RATIO =( NET PROFIT/ TOTAL
REVENUE)*100
= (36,96,000/1,62,00,000)*100
=22.81 %
20. BREAK EVEN ANALYSIS
• BEP = (FIXED COST/ (FIXED COST +
PROFIT))*100
= 1,62,00,000/1,98,96,000
= 81.42%
• BEP(volume)= FC* Total sales per annum/(TR-
TSPA)= 65836 UNITS OF PIZZA.
• BEP(sales)= BEPs*TR/TSPA= 97,40,264 INR.
• BEP(time)= TSPA/300= 220 days= 7 months.
21. SOURCE OF FINANCE
• SBI Raipur main branch CHHATTISGARH
• 80% of the total fixed cost is financed by the
bank
• Rest is financed by father .
22. SUPPLIERS
• RAW MATERIAL – local open market in BHILAI
• Oven -Guangzhou Lai Mei Machinery
Equipment Co., Ltd. Guangdong, China
• Foshan Shunde Qualibake Food Machinery
Co., Ltd. . Guangdong, China
