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Group 5
CANDLE BUSINESS

   Candles have been used for light and to illuminate
    man's celebrations for more than 5,000 years, yet
    little is known about their origin
   It is often written that the first candles were
    developed by the Ancient Egyptians, who used
    rush lights or torches made by soaking the pithy
    core of reeds in melted animal fat. However, the
    rush lights had no wick like a true candle.
   The Egyptians were using wicked candles
    in 3,000 B.C., but the ancient Romans are
    generally    credited   with   developing   the
    wicked candle before that time by dipping
    rolled papyrus repeatedly in melted tallow
    or beeswax
   Historians have found evidence that many other early
    civilizations developed wicked candles using waxes made from
    available plants and insects.
   Chinese candles are said to have been moulded in paper
    tubes, using rolled rice paper for the wick, and wax from an
    indigenous insect that was combined with seeds.
   In Japan, candles were made of wax extracted from tree nuts
   In India, candle wax was made by boiling the fruit of the
    cinnamon tree.
   Candles have come a long way since their initial
    use.
   Although no longer man's major source of light,
    they continue to grow in popularity and use.
   Today,    candles    symbolize   celebration,   mark
    romance, soothe the senses, define ceremony, and
    accent home decors — casting a warm and lovely
    glow for all to enjoy.
LOCATION
   Name:- Candle Wonders

   Industry:- Candle Business

   Business Type :- Partnership

   Capital Investment:- 48,00,000

   Location :-Belgaum Udhyambag sector
PARTNERSHIP DEED
   Name of Entrepreneur:- Mr Rahul David

   Date of Birth:- 05/07/1987

   Age:- 25

   Project:- Candle Making

   Location:- Salem Salvador, Do-Mundo Bardez Goa Porvorim,
    Goa

   Type of organization Proprietary/ Partnership:-
                                   Partnership

   Name of firm:- "Candle Wonders"

   Address:- Udhyambag, Belgaum
Qualification       Institute           Major         Year of
                                                   Subject       passing

HSSC or                    Vidya            Arts             2004-2005
BELOW     HSSC             Prabodhini,
                           Porvorim Goa



          BBA              CBALC,           HR               2005-2008
                           Belgaum
Degree/
Diploma                    S.P. Jain Institute MBA           2008-2010
                           of Management
          MBA              and Research ,
                           Puna
Training in       Institute         Duration            Achievement

                 Bizzyland 4 TH
                      Floor,
                  Vishrambag
   Candle         Vada Next To
   Making        Chitale Sweets,     2010-2011       Passing Certificate
   Course        Sadashiv Peth,
                 Pune – 411030




  Organization          Position        Nature of work        Duration
ZAF Enterprise        HR Assistant          Office           2011-2012
   Name of Entrepreneur: Ms Naithali D’costa

   Date of Birth: 03-07-1987

   Age: 25

   Project: Candle Business

   Location: Abu Dhabi, U.A.E

   Type of organization: Proprietary/Partnership:
                               Partnership

   Name of firm: "Candle Wonders"

   Address: Udhyambag, Belgaum
Qualification     Institute        Major      Year of
                                             Subject     passing



S.S.C or   HSSC            St Joseph’s     Commerce    2004
below                      School AUH



Degree/    BBA             University of   Marketing   2007
                           Wollongong
Diploma
                           DXB


           MBA             Hariot Watt     Marketing   2009
                           DXB
Training in            Institute              Duration           Achievement
 Candle & flower     Anant Apartment           1 year course     Awards & Completed
    making           Opp Mordern High           2009-2010            certificate
                     School, JM Road,
                     Sivaji Nagar, Pune



Interior & fashion      Inter National          2010-2011        Awards & Completed
    Designing        Institute of Fashion                            certificate
                            Design




 Organization            Position            Nature of work         Duration


 Home Center          Asst. Manager         Interior Decorator      2011-2012
    Auh
PRODUCTS
   Scented Candle
   Long thin candles
   Long Thick candles
   Spiral candles
   Glass candles
   Color candles
   Design Candles
MARKET SURVEY
   End product :- Colored scented candles

   End users :- Middle & upper class, Decorators

   Suitability and strength of selecting particular
    product :- Innovative, not many players

   Brand :- Candle Wonder

   Tagline: Light your life

   Selling price :- 20/-
   Class & type of consumers: Middle and upper class,
    decorators
   Product life cycle and present status : Introduction
    Stage
   Past demand pattern: High
   Anticipated future demand projections: Higher
   Buying criteria and influencing factors: Value for
    money pricing will influence customers
   Current availability and production capacity versus utilization:
                                        90% in total
Marketing Practices
   Distribution: Dealers
   Credit Policy: No credit facility
   Strengths and special services to be offered, if any: Coloured
    scented, decorated candles
   Possible clientele and their likelihood of buying: Decorators
7 P’S OF MARKETING
   Product :- Candle

   Price :- 20/- or depends on the type

   Place :- Udhyambag Belgaum

   Promotion:- Catalog & pamphlets to
    dealers
COMPETITORS
   Wax Works
      General Bewoor, CAMP, (Ganeshpur
Rd), Belgaum, India


   Jawan Candles - India hubli


   Shridevi Candles - India Hubli
MANUFACTURING PROCESS
   Keep Molds ready



         Melt



        Pure



   Keep for cooling
Melt


     Pour


Adjust Machine


Keep for cooling
PLANT & MACHINARY
S.       Description         Qty.      Price      Total      Names and
No.                        required               Value     addresses of
                                                              suppliers

1     Auto Shot 3000-D        1       4,00,000   4,00,000   Candlewic,
                                                             Mumbia.
2     Candle-machine-         1       5,00,000   5,00,000   Candlewic,
         125x125                                             Mumbia.
3     Fluted base former     20        1,000     20,000     Candlewic,
                                                             Mumbia.
4        Tray mould          100        220      22,000     Candlewic,
                                                             Mumbia.
5     Polyurethane tea       20        1,300     26,000     Candlewic,
         light mould                                         Mumbia.
6      Wick holder bar       500         4        2,000     Candlewic,
                                                            Mumbia.
            Total                                9,70,000
TYPES OF MACHINERY

  Candle-machine-125x125



                     Fluted base former




  Auto Shot 3000-D
EQUIPMENT




Wick holder bar         Tray mould               Sustainer base




                  Polyurethane tea light mould
 Mould                                           Wick holder bar
LAYOUT

MACHINE 1    MACHINE 2   STORAGE




                            REST ROOM


    WORKING SPACE

                          LOBBY
RAW MATERIALS
S. No.       Item          Total     Requirem       Total     Sources
                          annual       ents

                          Quantity   Value (Rs)
  1          Wax          15,600        90        14,04,000 Candlewic
                                                            , Mumbia.

  2       Colour block     1,872        40         74,880     Candlewic
                                                              , Mumbia.

  3          Wick          1,560        20         31,200     Candlewic
                                                              , Mumbia.

  4       Scents and       1,872        125       2,34,000    Candlewic
           fragrance                                          , Mumbia.

  5      Sustainer base   93,600       0.45        42,120     Candlewic
                                                              , Mumbia.

             Total                                17,86,200
UTILITIES
S.    Particulars      Annual    Rs/Unit     Total    Remarks
No.                  Requirement            Annual
                          s                Expenses
                                              (Rs)
1     Electricity       1,200     4.40       5,280     KEB


2       Water           100        35       3,500      KWB


         Total                              8,780
MANPOWER
S.        Particulars       No.    Total Wages &     Remarks
No.                               Salaries (Rs per
                                       year)


1      Skilled employees    1        1,20,000

2        Semi-skilled       5        4,20,000
          employees



3     Unskilled employees   4        1,92,000

             Total                   7,32,000
PRODUCTION PROGRAMME
S.      Item/Product       Total Qty. Price per    Sales       Capacity
No.                         Per Year    Qty.      Revenue     Utilization
                                                  Per Year
1     Fluted base candle    25,000       50       12,50,000      20%

2     Polyurethane tea-     25,000       50       12,50,000      20%
         light candle



3        Tray candle        44,000       20       8,80,000       50%

            Total                                 33,80,000      90%
FIXED CAPITAL
S.           Item           Value (Rs)
No.
1     Machinery/Equipment   9,70,000


2          Building         25,00,000


             Total          34,70,000
WORKING CAPITAL
S.           Item             Duration   Quantity      Value
No.
1     Raw materials stock     1 month                1,50,000

2     Finished goods stock    1 month                2,80,800

3           One month         1 month               8,780+7,32,0
      Production expenses                           00= 7,40,780
       (Utilities + Wages +
              Salaries)

             Total                                   11,71,580
TOTAL COST OF PROJECT
S.                 Particulars                 Value (Rs)
No.
 1                Fixed capital                34,70,000
              (Total of item No. 4.1)

2                Working Capital               11,71,580
              (Total of item No. 4.2)

3     Preliminary and pre-operative expenses    50,000

                      Total                    46,91,580
PROJECT PROFITABILITY ANALYSIS
S.             Description              Value (Rs)
No.
 1            Sales Revenue             33,80,000

2        Manufacturing expenses         25,26,980
             (2.3+2.4+2.5)

3     Selling & Distribution expenses    50,000

4        Administrative expenses         10,000

5                Interest                   -

6              Depreciation              40,000

7      Gross profit [1-(2+3+4+5+6)]     7,53,020

8            Income tax (30%)           2,25,906

9             Net profit (7-8)          5,27,114
PRODUCT LIFE CYCLE
   Introduction   stage:-    Start   manufacturing
    candles from 1st April 2012 with a gross profit
    of 7,53,020 & net profit of 5,27,114.
   Growth stage :- Potential buyers get attracted
    with increased profits.
   Maturity stage :- Have own outlets
   Decline stage :- Start a joint venture/ tie up
    with event companies or decorators.
ENCLOSURES
 Partnership    deed

 Educational     certification

 Certificates   of experience

 Permission     letters

 Expected    cost of the building or rent receipt.

 Quotation    for machinery and equipment

 Letters   from raw material suppliers
Candle wonders business plan

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Candle wonders business plan

  • 2. CANDLE BUSINESS  Candles have been used for light and to illuminate man's celebrations for more than 5,000 years, yet little is known about their origin  It is often written that the first candles were developed by the Ancient Egyptians, who used rush lights or torches made by soaking the pithy core of reeds in melted animal fat. However, the rush lights had no wick like a true candle.
  • 3. The Egyptians were using wicked candles in 3,000 B.C., but the ancient Romans are generally credited with developing the wicked candle before that time by dipping rolled papyrus repeatedly in melted tallow or beeswax
  • 4. Historians have found evidence that many other early civilizations developed wicked candles using waxes made from available plants and insects.  Chinese candles are said to have been moulded in paper tubes, using rolled rice paper for the wick, and wax from an indigenous insect that was combined with seeds.  In Japan, candles were made of wax extracted from tree nuts  In India, candle wax was made by boiling the fruit of the cinnamon tree.
  • 5. Candles have come a long way since their initial use.  Although no longer man's major source of light, they continue to grow in popularity and use.  Today, candles symbolize celebration, mark romance, soothe the senses, define ceremony, and accent home decors — casting a warm and lovely glow for all to enjoy.
  • 6. LOCATION  Name:- Candle Wonders  Industry:- Candle Business  Business Type :- Partnership  Capital Investment:- 48,00,000  Location :-Belgaum Udhyambag sector
  • 7. PARTNERSHIP DEED  Name of Entrepreneur:- Mr Rahul David  Date of Birth:- 05/07/1987  Age:- 25  Project:- Candle Making  Location:- Salem Salvador, Do-Mundo Bardez Goa Porvorim, Goa  Type of organization Proprietary/ Partnership:- Partnership  Name of firm:- "Candle Wonders"  Address:- Udhyambag, Belgaum
  • 8. Qualification Institute Major Year of Subject passing HSSC or Vidya Arts 2004-2005 BELOW HSSC Prabodhini, Porvorim Goa BBA CBALC, HR 2005-2008 Belgaum Degree/ Diploma S.P. Jain Institute MBA 2008-2010 of Management MBA and Research , Puna
  • 9. Training in Institute Duration Achievement Bizzyland 4 TH Floor, Vishrambag Candle Vada Next To Making Chitale Sweets, 2010-2011 Passing Certificate Course Sadashiv Peth, Pune – 411030 Organization Position Nature of work Duration ZAF Enterprise HR Assistant Office 2011-2012
  • 10. Name of Entrepreneur: Ms Naithali D’costa  Date of Birth: 03-07-1987  Age: 25  Project: Candle Business  Location: Abu Dhabi, U.A.E  Type of organization: Proprietary/Partnership: Partnership  Name of firm: "Candle Wonders"  Address: Udhyambag, Belgaum
  • 11. Qualification Institute Major Year of Subject passing S.S.C or HSSC St Joseph’s Commerce 2004 below School AUH Degree/ BBA University of Marketing 2007 Wollongong Diploma DXB MBA Hariot Watt Marketing 2009 DXB
  • 12. Training in Institute Duration Achievement Candle & flower Anant Apartment 1 year course Awards & Completed making Opp Mordern High 2009-2010 certificate School, JM Road, Sivaji Nagar, Pune Interior & fashion Inter National 2010-2011 Awards & Completed Designing Institute of Fashion certificate Design Organization Position Nature of work Duration Home Center Asst. Manager Interior Decorator 2011-2012 Auh
  • 13. PRODUCTS  Scented Candle  Long thin candles  Long Thick candles  Spiral candles  Glass candles  Color candles  Design Candles
  • 14. MARKET SURVEY  End product :- Colored scented candles  End users :- Middle & upper class, Decorators  Suitability and strength of selecting particular product :- Innovative, not many players  Brand :- Candle Wonder  Tagline: Light your life  Selling price :- 20/-
  • 15. Class & type of consumers: Middle and upper class, decorators  Product life cycle and present status : Introduction Stage  Past demand pattern: High  Anticipated future demand projections: Higher  Buying criteria and influencing factors: Value for money pricing will influence customers
  • 16. Current availability and production capacity versus utilization: 90% in total Marketing Practices  Distribution: Dealers  Credit Policy: No credit facility  Strengths and special services to be offered, if any: Coloured scented, decorated candles  Possible clientele and their likelihood of buying: Decorators
  • 17. 7 P’S OF MARKETING  Product :- Candle  Price :- 20/- or depends on the type  Place :- Udhyambag Belgaum  Promotion:- Catalog & pamphlets to dealers
  • 18. COMPETITORS  Wax Works General Bewoor, CAMP, (Ganeshpur Rd), Belgaum, India  Jawan Candles - India hubli  Shridevi Candles - India Hubli
  • 19. MANUFACTURING PROCESS Keep Molds ready Melt Pure Keep for cooling
  • 20. Melt Pour Adjust Machine Keep for cooling
  • 21. PLANT & MACHINARY S. Description Qty. Price Total Names and No. required Value addresses of suppliers 1 Auto Shot 3000-D 1 4,00,000 4,00,000 Candlewic, Mumbia. 2 Candle-machine- 1 5,00,000 5,00,000 Candlewic, 125x125 Mumbia. 3 Fluted base former 20 1,000 20,000 Candlewic, Mumbia. 4 Tray mould 100 220 22,000 Candlewic, Mumbia. 5 Polyurethane tea 20 1,300 26,000 Candlewic, light mould Mumbia. 6 Wick holder bar 500 4 2,000 Candlewic, Mumbia. Total 9,70,000
  • 22. TYPES OF MACHINERY Candle-machine-125x125 Fluted base former Auto Shot 3000-D
  • 23. EQUIPMENT Wick holder bar Tray mould Sustainer base Polyurethane tea light mould Mould Wick holder bar
  • 24. LAYOUT MACHINE 1 MACHINE 2 STORAGE REST ROOM WORKING SPACE LOBBY
  • 25. RAW MATERIALS S. No. Item Total Requirem Total Sources annual ents Quantity Value (Rs) 1 Wax 15,600 90 14,04,000 Candlewic , Mumbia. 2 Colour block 1,872 40 74,880 Candlewic , Mumbia. 3 Wick 1,560 20 31,200 Candlewic , Mumbia. 4 Scents and 1,872 125 2,34,000 Candlewic fragrance , Mumbia. 5 Sustainer base 93,600 0.45 42,120 Candlewic , Mumbia. Total 17,86,200
  • 26. UTILITIES S. Particulars Annual Rs/Unit Total Remarks No. Requirement Annual s Expenses (Rs) 1 Electricity 1,200 4.40 5,280 KEB 2 Water 100 35 3,500 KWB Total 8,780
  • 27. MANPOWER S. Particulars No. Total Wages & Remarks No. Salaries (Rs per year) 1 Skilled employees 1 1,20,000 2 Semi-skilled 5 4,20,000 employees 3 Unskilled employees 4 1,92,000 Total 7,32,000
  • 28. PRODUCTION PROGRAMME S. Item/Product Total Qty. Price per Sales Capacity No. Per Year Qty. Revenue Utilization Per Year 1 Fluted base candle 25,000 50 12,50,000 20% 2 Polyurethane tea- 25,000 50 12,50,000 20% light candle 3 Tray candle 44,000 20 8,80,000 50% Total 33,80,000 90%
  • 29. FIXED CAPITAL S. Item Value (Rs) No. 1 Machinery/Equipment 9,70,000 2 Building 25,00,000 Total 34,70,000
  • 30. WORKING CAPITAL S. Item Duration Quantity Value No. 1 Raw materials stock 1 month 1,50,000 2 Finished goods stock 1 month 2,80,800 3 One month 1 month 8,780+7,32,0 Production expenses 00= 7,40,780 (Utilities + Wages + Salaries) Total 11,71,580
  • 31. TOTAL COST OF PROJECT S. Particulars Value (Rs) No. 1 Fixed capital 34,70,000 (Total of item No. 4.1) 2 Working Capital 11,71,580 (Total of item No. 4.2) 3 Preliminary and pre-operative expenses 50,000 Total 46,91,580
  • 32. PROJECT PROFITABILITY ANALYSIS S. Description Value (Rs) No. 1 Sales Revenue 33,80,000 2 Manufacturing expenses 25,26,980 (2.3+2.4+2.5) 3 Selling & Distribution expenses 50,000 4 Administrative expenses 10,000 5 Interest - 6 Depreciation 40,000 7 Gross profit [1-(2+3+4+5+6)] 7,53,020 8 Income tax (30%) 2,25,906 9 Net profit (7-8) 5,27,114
  • 33. PRODUCT LIFE CYCLE  Introduction stage:- Start manufacturing candles from 1st April 2012 with a gross profit of 7,53,020 & net profit of 5,27,114.  Growth stage :- Potential buyers get attracted with increased profits.  Maturity stage :- Have own outlets  Decline stage :- Start a joint venture/ tie up with event companies or decorators.
  • 34. ENCLOSURES  Partnership deed  Educational certification  Certificates of experience  Permission letters  Expected cost of the building or rent receipt.  Quotation for machinery and equipment  Letters from raw material suppliers