|
Hair Brushes
| Product Code |
: |
389102008/ 303835001
|
| Quality and Standards
|
: |
IS 4584:1968 (Reaffirmed
with amendment
Nos. 2 :1999.) |
| Production Capacity
|
: |
Qty. : 162000 Nos. (per
annum)
Value : Rs. 5166000 |
| Uploaded on |
: |
April 2007 |
Introduction
The brushes used in polishing of Shoes,
dusting of Woolen Clothes, Carpets and for dressing up of
ladies hair etc, fall in the category of hair brushes. They
are useful household products and are available in different
sizes and shapes.
Market Potential
The products being of daily use have vast
scope for production and sale in big cities, towns and in
villages as well. As the standard of living is going up, the
demand of hair brushes is also increasing throughout the country.
The products also have good scope for exports.
Basis and Presumptions
1. Unit is assumed to work 16 hours per
day on double shift basis for 300 working days in a year.
2. It is expected to achieve 75% efficiency of full capacity
utilization.
3. Wages for workers have been taken as those prevailing at
the time of preparation of Project Profile.
4. Interest Rate for the Fixed and Working Capital of the
project has been taken at an average rate of 12% per annum.
5. The Building is of own
6. The Cost of Machinery and Equipment has been taken as per
the prices prevailing in the local markets.
Implementation Schedule
| Sl.No. |
Activity |
Period in Weeks |
| 1. |
Preparation of Project
Report |
2 |
| 2. |
Selection of Site |
2 |
| 3. |
Provisional Registration
as Small Scale Unit |
1 |
| 4. |
Availability of Loan/Finance
|
4 |
| 5. |
Procurement of Machinery
and Equipment |
2 |
| 6. |
Erection of Machinery
and Equipment |
1 |
| 7. |
Recruitment of Staff
and Labour |
2 |
| 8. |
Procurement of Raw Material
|
2 |
| 9. |
Trial Production |
2 |
The overall time required to commission
the project may be 4 to 5 months.
Technical Aspects
Process of Manufacture
i) Manufacturing and Painting of wooden
frames and handles.
ii) Preparation of hairs and cutting to size.
iii) Bunching of hairs and fixing in frames.
iv) Fixing up of frames and handles with adhesive glue.
v) Dressing up and packing up of brushes.
Quality Control
and Standards
BIS has laid down IS Specification No. IS: 4585:68, Reaffirmed
- 1999 for Shoe Brushes which may be followed for producing
quality goods. Other products may be manufactured as per customers'
requirements.
Production Capacity (per annum)
| i. Shoe Brushes |
120,000 Nos. |
| ii. Wooden Cloth and
Carpet Brushes |
24,000 Nos. |
| iii. Ladies Hair Brushes
|
18,000 Nos. |
| Total |
Rs. 5166000 lakhs |
Pollution Control
The process of manufacture is non polluting and hence no pollution
control measures are necessary.
Energy Conservation
The power consumption in this unit is
not of high order where special energy conservation needs
may have to be looked into. However, judicious use of energy
may be always advisable for which proper maintenance of machines
may be undertaken periodically and idle running of machine
avoided.
Financial Aspects
A Fixed Capital
| i) Land and Building
|
Amount
(In Rs.) |
| (i) Land 100 sq. mtr.
@ Rs. 3500 per sq. mtr including registration |
350000 |
| (ii) Construction Cost(workshop,
office and store) for 100 Sq. mtr @ 5000/ per sq. mtr
|
500000 |
| (iii)Water Supply system(including
Tube well +overhead tanK) |
50000 |
| Total civil cost=
cost of land + building |
900000 |
(ii) Machinery and Equipment
| Sl. No. |
Description |
Qty. Nos. |
Amount
(In Rs.) |
| 1. |
Wood Working Circular
Saw 8" dia complete with 1 HP motor, Pulley, belt
and starter |
1 |
7500 |
| 2. |
Wood Working Jig Saw
Machine having 20" depth 12" × 12"
Table complete with 1 HP Motor, Pulley, Belt and Starter
|
1 |
15750 |
| 3. |
Wood Trimming Lathe 4'
with ½ HP motor |
1 |
11550 |
| 4. |
Belt and Disc Sander
complete with motor ½ HP and Pulley and Belt |
1 |
7750 |
| 5. |
Motorised Bench type
drilling machine with ½ HP Motor, Capacity-13 mm
|
1 |
6650 |
| 6. |
Buffing and Polishing
Machine with ½ HP
Motor with stand |
1 |
9700 |
|
Total
|
58900 |
| Installation
and Electrification charges @ 10% |
5890 |
| Cost of Dies,
Tools and Fixtures, and Measuring equipments |
10000 |
| Cost of Office
Equipment/ Working Table etc. |
40000 |
|
Total(ii)
|
114790 |
| (iii)Pre-Operative
Expenses |
20000 |
| Fixed
Capital (i+ii+iii) |
1034790 |
B. Working Capital (per month)
(1) Staff and Labour
| Sl.No. |
Designation |
No. |
Salary (Rs.) |
Amount
(In Rs.) |
| (1) |
Manager |
1 |
12000 |
12000 |
| (2) |
Clerk/Accountant |
1 |
7000 |
7000 |
| (3) |
Supervisor |
2 |
7000 |
14000 |
| (4) |
Skilled Workers |
6 |
5500 |
33000 |
| (5) |
Semi-skilled Workers
|
6 |
4500 |
27000 |
| (6) |
Helpers |
6 |
3000 |
18000 |
| (7) |
Peon/Watchman |
2 |
3000 |
6000 |
|
Total
|
117000 |
| Perquisites
@ 22% of Salary |
25740 |
|
Total
|
142740 |
(ii) Raw Material Including Packing Materials
| Sl. No. |
Particulars |
Rate (Rs.) |
Qty. |
Total
(In Rs.) |
| 1. |
Natural Hair Assorted
type |
400/ Kg. |
240 kg. |
96000 |
| 2. |
Sawn Wood/Timer of soft
grain |
300/ C.f.t. |
100 C.f.t. |
30000 |
| 3. |
Resin/Glue |
105/kg. |
200 Kg. |
21000 |
| |
Paint/Varnish and Nylon
Thread |
120/Kg |
200 Kg. |
24000 |
| |
Packing Material |
L.S |
|
15000 |
|
Total
|
186000 |
| (iii) Utilities |
(Rs.) |
| Average consumption 2000
KWH Unit @ Rs. 5/ unit |
10000 |
| (iv) Other Contingent
Expenses |
(In Rs.) |
| ii. Repair and Maintenance
|
4000 |
| iii. Postage and Stationery
|
4000 |
| iv. Telephone Charges
|
3000 |
| v. Transportation and
Freight |
10000 |
| vi. Insurance |
3000 |
| vii. Sales Expenses |
10000 |
| viii. Miscellaneous Expenses
|
10000 |
|
Total
|
44000 |
| (v) Total Working
Capital (per month) |
(Rs.) |
| 1. Raw Material |
186000 |
| 2. Salary and Wages |
142740 |
| 3. Utilities |
10000 |
| 4. Other Contingent Expenses
|
44000 |
|
Total
|
382740 |
| (vi) Working Capital
for 1.5 Months |
= Rs. 382740 ×
1.5 |
| |
574110 |
C. Total Capital Investment
| (1) Fixed Capital |
1034790 |
| (2) Working Capital for
1.5 months |
574110 |
| Total |
1608900 |
Machinery Utilisation
Bunching of hairs and fixing is bottleneck
operation, hence by applying more workers production can be
increased.
Financial Analysis
| (1) Cost of Production
(per annum) |
(In Rs.) |
| 1. Total Recurring Expenditure
|
4592880 |
| 2. Depreciation on Plant
and Machinery and Equipment @ 10% |
5890 |
| 3 Depreciation on Civil
cost 5 % |
45000 |
| 4. Depreciation of Office
Equipment/ Furniture @ 20% |
8000 |
| 5. Depreciation on Tools,
fixtures @ 25% |
2500 |
| 6. Interest on Total
Capital Inv. @ 12% |
193068 |
| Total |
4847338 |
(2) Turn-over (per annum)
Sl.
No. |
Particulars |
Qty. Nos. |
Rate
(Rs.) |
Total
(In Rs.) |
| 1. |
Shoe Brushes |
120000 |
28 |
3360000 |
| 2. |
Woollen Clothes and Carpet
Brushes |
24000 |
40 |
960000 |
| 3. |
Ladies Hair Brushes |
18000 |
47 |
846000 |
| Total |
5166000 |
| (3) Profit |
|
| Sales - Cost of Production
|
318662 |
| (4) Percentage Profit
on Sales |
6.17% |
| (5) Rate of Return on
Total Capital Investment |
19.81% |
(6) Break-even Point
| Fixed Cost (per annum)
|
(In Rs.) |
| 1. Total Depreciation
|
16390 |
| 2. Depreciation on Building
|
45000 |
| 3. Insurance |
36000 |
| 4. Interest on Total
Capital Investment |
193068 |
| 5. 40% of Salary and
Wages |
685152 |
| 6. 40% of Other Contingent
Expenses Excluding insurance |
196800 |
|
Total
|
1172410 |
| B.E.P |
= |
Fixed Cost × 100
--------------------- |
| |
|
Fixed Cost + Profit |
| |
|
|
| Where, F.C. |
= |
1172410 |
| Profit |
= |
318662 |
| |
|
|
| |
= |
78.63 |
Addresses of
Machine /Equipment and Raw Material Suppliers
1. M/s. Essential Machine Tools Pvt. Ltd.
5, Nyay Murthi G.N. Vaidya Marg,
Bank Street, P.O. Box No. 2,
Behind State Bank of India,
Fort, Mumbai – 400 001
2. M/s. Perfect Machine Tools Co. Pvt. Ltd.
Sir P.M. Road, Mumbai.
Raw Material Suppliers
Locally available.
Contact for more information:
Information Manager
TIMEIS Project
E-mail: timeis@ficci.com
|
