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1 Project Profile on : Mobile servicing centre Installed Capacity per Annum : Item Quantity Rate Total(Rs) in Nos i) Servicing/Minor repair of Mobile /- ii) Servicing/major repair of mobile /- Prepared for : Prepared by : Business Development Department Orissa State Financial Corporation OMP Square, Cuttack Tel. Phone :

2 //2// Introduction : With the advancement of technology, verities of Consumer electronics products with a lot of features are being introduced in the market every day and more and more Multi- national companies are entering this field. Mobile set are now a day s considered as integral part of human life cycle. The responsibility to provide after sale service lies with the supplier. However, adequate facilities are not available in many remote areas for servicing of these electronic products. The mobile repair shop is a profitable venture to cater to the need of the public. Marketability of the Product: Consumer electronic industries constitute the largest part of the electronic hard ware sector. Now that the consumer electronic technology has changed the society to such an extent that there is no house even in the remote area without an electronic product like mobile set. These products are prone to damage due to fluctuation in electricity, in proper handling and failure of component etc.. The service facility from the supplier is not adequate. Therefore, the venture has a good market potential to serve people. Project outline : a) Location The Mobile Servicing Centre will be set up in a rented Premises at-main Road, Chhendipada on monthly rent of Rs.2500/-. b) Building detail& cost : The area required for the enterprise will be about 500 sft. having close proximity to market. c) Plant & Machinery & cost : The plant & machinery required for the project is furnished here below : i) Personal computer system Pentium -4 of reputed make 3 Nos. Rs.75000/- ii) Intel original soft ware - Rs.30000/- iii) Hot Iron with accessories - Rs.10000/- iv) Mobile Flashing Soft ware - Rs.50000/- v) Inverter 2 K.W. capacity - Rs.30000/- vi) Testing equipments - Rs.30000/- vii) Misc. fixed assets - Rs.10000/- viii) Furniture & Fixture - Rs.50000/-

3 ix) Electrical items for electrification & commissioning - Rs.50000/- x) Mobile parts - Rs /- Total - Rs /- d) Raw-material, consumable & packaging and cost: (per month) IC s timer, regulator, Transistor, Diodes, LED, Register, Relay, PCB, Switches, Fuse etc. LS Rs.30000/- e).misc. Fixed Asset: (For office purpose) - Rs. 5000/- f) Pre-operative expenses: i) Preparation of Project Report: ii)traveling & Misc. liasioning cost : iii) Security deposit/processing Charge: iv) Registration Charges: v) Int. payable during implementation: vi) Miscellaneous: Total Rs g) Total fixed cost: i) Land & Dev.: ii) Building: ` rented iii) Plant & M/c : Rs iv) Misc. fixed asset: Rs v) Contigency Rs Total : Rs h). Working Capital detail: (Rs ) Particular Total Bank Own 1. Raw material, consumable 2month Working expenses 1 month Total i)utility & Services : Power : the expenses toward power consumption will be around Rs2500/- per month. J)Manpower : Sl.No. Designation No Salary 1 Skilled technician 2 Rs Semi skilled technician 2 Rs Office Asst. 1 Rs.2000 Rs13000/-

4 k) Project Cost ( Rs. In lakhs) : i) Building & Civil construction rented ii) P& M (including TFI) Rs iii) Other fixed asset Rs iv) Prel. & Pre-operative expenses Rs v) Contingency for P.E. Rs vi) Margin Money for W/C Rs Total : Rs l) Means of Finance (Rs. In lakh) i)term loan Rs ii) Promoter s Contribution Rs Total : Rs Iii) Working capital loan Rs m) Implementation schedule: i) Preparation of Project Report: ii) Selection of site: iii)collection of information Regarding finance, P/M & Utilities. iv) Sanction of loan v) Clearance from different agencies: vi) Procurement & Erection of P/M : vii) Commissioning & Trial Production viii) Commercial Production Note: The proposed unit will be located in a rented building. The time for implementation of the project will take around 3 months. n) Process of Manufacture: When faulty equipment is received from the consumer, an assessment of the nature of the complaint is made. An estimate of this service/repair charge is made after checking the availability of components. Then through a systematic approach, the actual fault is found, rectified and tested. The repaired equipments is kept for observation for sufficient time before it is handed over to the customer. o) Detail of sale :the average job work expected per annum is as under. Item Quantity in Nos Rate total(rs) iii) Servicing/Minor repair iv) Servicing/major repair P) Cost of Production (Annual basis) : (at 70% capacity) (Rs. In lakh ) i) Raw material, consumables & Packing 2.52 ii) Manpower 1.56

5 iii) Power 0.30 iv) Repair & Maintenance 3% 0.13 v) Admn. Overheads 0.24 vi) Depreciation Plant & M/c - 10% Misc. asset - 10% vii) Total : Interest Term 12 % Working 12 % viii) Insurance -2% 0.09 ix) Rent q) Profitability Analysis : ( At 70% capacity) i) Annual Sales 7.35 ii) Less Cost of Production 6.03 iii) Gross Profit 1.32 iv) Less Income Tax 0.15 v) Net profit 1.17 vi) Available Surplus = 1.61 vii) Amount of Installment/ Annum Rs 0.62 lac considering Repayment period at 6 years with 1 year moratorium viii) DSCR Available Surplus+Int on TL Amt of Installment+ Int on TL =( )/( )= 1.97 r) Ratio Analysis : i) Net profit ratio = Net profit / turn over X 100 = % (1.17/7.35*100) ii) Rate of return = Net profit / Investment X 100= % (1.17/4.45*100) iii) Break even analysis Computation of Fixed cost Depreciation 0.44 Repair & maintenance / Insurance 0.22 Int. on Term loan % of personal expenditure % of other expenditure 0.22 Rent 0.30 Total : 2.20 s) BEP = FC X 100 = % FC + Net profit t) Basis & Presumption: i) The project is based on single shift basis having 300 working days ii) The rate of int. has been 12 %

6 iii) The repair & maintenance has been 3 % iv) The margin money for term loan and working capital has been taken 25 % u) Address of Machine Supplier: (1) M/s. Kamal Electronics 14, Lakshmi Building, J.C. Road Bangalore Tel : , FAX : Kamal (For Testing Equipment) (2) M/s. Aplab Limited XL. 1/583, II Floor, Krishna Nivas, Adv. Eashwara Lyer Road Kochi Telephone/FAX: aplab ( For Testing Equipment) (3) M/s. Signet Electronics P. Ltd. 213, Champaklal Industrial Estate, 105-Sion (E), Mumbai Signet Com. (For Testing Equipment) (4) M/s. Nigam Electronics Link Road, Cuttack. (For P&M/c and Lab equipment)

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