ON
GARMENTS & TAILORING BUSINESS
Submitted By
NAME SMT. MANIKA DEBBARMA
HUSBAND’S NAME SRI DIJEN DEBBARMA
ADDRESS VILL-MANUGHAT, LTV
PO+ PS MANUGHAT, PS-MANUGHAT, SUB-LTV
DISTRICT DHALAI, TRIPUIRA, PIN NO- 799275
CONTACT NO
1|Page HIGHLIGHT OF THE PROJECT SUMMERY
1 Name of the Activity : GARMENTS & TAILORING BUSINESS
2 Name of the Entrepreneur : Smt. Manika Debbarma
3 Husband’s Name` : Sri Dijen Debbarma
4 Address of applicant : Vill-Manughat, Po-Manughat, Subdision-
(Parmanent/present) LTV, Dhalai, Tripura-799275
5 Location of the proposed unit :
6 Cast : S.T
7 Qualification :
8 Date of birth : 02/03/1975
9 Aadhar No : 5215-0736-9918
10 Pan card No : DDLPD1750F
11 Contact No :
12 Technical qualification & other :
13 Experience : 5 years of this business
14 Employment potential : 01 nos
15 Proposed bank : TRIPURA GRAMIN BANK,MANU BR.
16 Repayment Method : As per bank norms or 5years
1 Total project cost:- : Rs. 1,00,000.00
7
a) Working capital : Rs.80,000.00
b) Fixed capital : Rs.20,000.00
19 Source of fund:-
a) Own contribution (5%) : Rs. 5,000.00
b) Bank loan 95% : Rs.95,000.00
20 Address of raw materials : Agartala, Kolkata, Guwahati, & Delhi.
22 Cost of production (PA) : Rs.8,40,000.00
23 Turn Over (PA) : Rs.12,00,000.00
24 B.E.P : 34%
25 Net profit on sale (%) : 20%-30%
2|Page
PROJECT REPORT
ON
GARMENTS & TAILORING BUSINESS
INTRODUCTION:
The business of garments is now a developed business in its own right
people inclination towards the readymade cloths is rising day by day. This
inclination can be attributed to their busy schedules and the attractive designs asc
well as variety in the readymade cloths. Although there is a considerable big range
under readymade cloths but here we shall deal with children wear and gents pant-
shirts. Market of such cloths is quite wide and materials required for making such
clothes is also not a problem even on local level.
MARKET POTENTIAL:
The marketing of any product is the decision making factor of the
existence of the unit and on considering that the promoter has taken all the possible
ways for marketing such as direct sales and personal contacts etc. In fact the
promoter had made a wide network of marketing for the last one year and is capable
for the forthcoming years also. The marketing area is concentrated in retail shops of
small towns and there are a number of dealers through which the product can be
sold. Most care will be taken in the change of fashion and trends as they are much
affected in the field of ready-made garments.
ASSUMPTION
It is assumed that there will not be any major increase in the rate of
raw material and any major changes in prices will be compensated with
corresponding change in product.
CONCLUSION
On revealing the various aspects of the project and studying the
financial & technical features of the scheme it can easily be noted that the above
project will be a great success. The economics of the project is detailed as follows.
3|Page
FINANCIAL ASPECT
A. Fixed Expenditure : Rs.30,000.00
1. Cost of Electric wiring, Fan, Tube
2. Bulb, etc.
2. Miss. Expenses
Furniture, counter, chair, table, rack, tailoring machine, interlock machine, etc.
3. Expenses over the decoration of the shop
4. THUS THE TOTAL FIXED CAPITAL RS.20,000.00
(1+2+3 of A)
B. Working Capital : Rs.70,000.00
1. RAW MATERIALS : Rs. 60,000.00
[Eg. Jeans pants (for men/women/children), Gabardine pants (for men/women
/children)All kinds pants (for men/women/children), all kinds shirts (for men/women
/children), Baba suits(for men/women/children), Frock (for men/women/children),
Jeans pants (for men/women/children)Tricots shirts (for men/women/children),
Cotton pants (for men/women/children), T-shirts (for men/women/children)
Pyjama-kurta (for men/women/children), Socks (for men/women/children),
Handkerchief, Ladies gowns (for men/women/children), Ladies suits (for men/women
/children), other garments items]
2. MANPOWER (PA):
i. Manager cum Supervisor : SELF
ii. Skilled sell man-1No. @ Rs.3,000/- : Rs.3,000
3. Shad & building : OWN
a) Transportation : Rs. 5000.00
b) Insurance : Rs. 500.00
c) Advertisement : Rs. 500.00
d) Power : Rs. 300.00
e) Others : Rs. 3,700.00
Total- Rs. 10,000.00
Thus, Total working capital Rs.70,000.00
1+2+3 of B
TOTAL EXPENDITURE OF THE PROJECT
a) NON-RECURRUNG EXPENDITURE : Rs.30,000.00
b) RECURRING EXPENDITURE : Rs. 70,000.00
Total : 1,00,000.00
MEANCE OF FINANCE
a) Own Contribution 5% : Rs. 5,000.00
b) Bank Loan under @ 95% : Rs.95,000.00
…………………..……………
Total – Rs.1,00,000.00
4|Page
COST OF PRODUCTION (PER ANNUMN)
a) Raw materials :
b) Man power for 12 month :
c) Other expenses for 12 month :
d) Depreciation on fixed assets @ 10% :
e) Interest on loan @ 12% :
Total- Rs. 8,40,000.00
SALE REALIZATION (PER ANNUMN)
Turnover per year Total: 12,00,000.00
PROFITABILITY ACCOUNT (P.A):
SALE REVENUE COST OF PRODUCTION OPERATING PROFIT
RS.12,00.000.00 RS.8,40,000.00 RS.3,60,000.00
*Operating profit : Rs.3,60,000.00
*IT payable : Rs.00.00
*Net Profit : Rs.3,60,000.00
% of profit on sale : profit X 100
………………………………
Sale
360000 X 100
…..……………………….
2525856
= 15% or 20%
BREAKING EVEN POINT ANALYSIS
(Compound on Fixed Cost)
a. 12% of labour cost
b. 10% of other expenses
c. Total depreciation
d. Interest
Thus, B.E.P = Fixed Cost x 100
------------------------------
Fixed Cost + Profit
= 34% (on operation)
5|Page
INTEREST CALCULATION & REPAYMENT SCHEDULE
*Term Loan : Rs.70,000/-
*Rate of Interest : @ 12% P.A
*Repayment Period : 5 Years
*Moratorium : Nil
Year Repayment interest Principal Balance
1st Year 19,418.68 8,400.00 11,018.68 58,981.32
2nd Year 19,418.68 7,077.76 12,340.92 46,640.40
3rd Year 19,418.68 5,596.85 13,821.83 32,818.57
4th Year 19,418.68 3,938.23 15,480.45 17,338.12
5th Year 19,418.69 2,080.57 17,338.12 0.00
Utilization (Rs in '000)
1. All figures mentioned above are only indicative.
2. If the investment on Building is replaced by Rental then
a. Total Cost of Project will be reduced.
b. Profitability will be increased.
c. Interest on C.E.will be reduced
Submitted by
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