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Assignment8

The document outlines a project profile for an Ice Cream and Snow Cone Stand, detailing its business concept, location, market potential, and manufacturing process. It includes financial projections, costs, and profitability analysis, indicating a strong potential for success due to a strategic location near a school and a commitment to quality. The total project cost is estimated at ₹5,36,000, with a projected net profit of ₹4,69,220 in the first year.

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samrudhibongale28
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2 views

Assignment8

The document outlines a project profile for an Ice Cream and Snow Cone Stand, detailing its business concept, location, market potential, and manufacturing process. It includes financial projections, costs, and profitability analysis, indicating a strong potential for success due to a strategic location near a school and a commitment to quality. The total project cost is estimated at ₹5,36,000, with a projected net profit of ₹4,69,220 in the first year.

Uploaded by

samrudhibongale28
Copyright
© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
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Download as PDF, TXT or read online on Scribd
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Assignment No.

8
Preparing a Project Profile for starting an SSE

Introduction

At Ice Cream and Snow Cone Stand, we bring joy in every scoop and cone! Our Ice Cream and Snow
Cone Stand offers delicious, refreshing frozen treats that are perfect for beating the heat. Whether
you're at an event, festival, or just passing by a busy street, we serve a variety of flavours that cater to
all tastes. From creamy ice creams to colourful, flavoured snow cones, we ensure every treat is made
with high-quality ingredients to keep our customers happy and refreshed. Stop by for a sweet, icy
delight and make your day a little cooler!

Promoter

The Ice Cream and Snow Cone Stand is the brainchild of Snow Cone Stand, passionate entrepreneurs
with a vision to bring refreshing frozen treats to the community. With a keen understanding of
customer preferences and market trends, we aim to create a delightful experience through our Ice
Cream and Snow Cone Stand. Our expertise in food service, customer engagement, and business
management allows us to serve high-quality, flavourful treats at events, festivals, and high-traffic
locations. We are committed to delivering joy with every scoop, ensuring that each customer enjoys
a refreshing and memorable experience.

Location of the unit


The unit is located at Kolhapur District, providing a well-equipped and hygienic environment for the
preparation of high-quality ice-creams and colds. The strategic location ensures easy accessibility for
customers and smooth distribution of products.

Market potential
The market potential for my Ice Cream or Snow Cone Stand business near the school is huge. With
thousands of students, teachers, and staff, there's a built-in customer base that will provide repeat
business daily. Plus, as a unique vendor near the school, I'll have minimal competition. And, with the
school's growing population, demand for refreshing treats will only increase, making this a thriving
business opportunity.
Quality control & standard
To ensure the success of my Ice Cream or Snow Cone Stand business, I'll maintain rigorous quality
control and standards. I'll source high-quality ingredients, use clean equipment, and follow proper
food handling and storage procedures to prevent contamination. Every ice cream and snow cone will
be carefully crafted to meet my standards of taste, texture, and presentation. I'll also implement a
regular cleaning schedule, train staff on quality control procedures, and conduct taste tests to
guarantee consistency and excellence in every product served.

Manufacturing process

1. Ingredient Sourcing: I'll source high-quality ingredients, including natural flavourings, pure
cane sugar, and fresh fruits.
2. Ice Cream Base Preparation: I'll prepare the ice cream base by mixing the ingredients in a large
container and heating them to the correct temperature.
3. Flavouring and Colouring: The ice cream base will be flavoured and coloured according to the
desired flavour profile.
4. Churning and Freezing: The flavoured ice cream base will be churned in an ice cream machine
and then frozen to the correct consistency.
5. Snow Cone Syrup Preparation: For snow cones, I'll prepare the flavoured syrups by mixing the
ingredients in a large container.
6. Syrup Filtration: The flavoured syrups will be filtered to ensure clarity and purity.
7. Filling and Packaging: The ice cream and snow cone syrups will be filled into containers and
packaged for sale.
8. Quality Control: Every product will be inspected for quality and consistency before being
served to customers.
Cost of the Project
Particulars Amount (₹)
Land Owned
Building Owned
Machinery & Equipment 2,00,000.00
Raw Materials & Ingredients 70,000.00
Working Capital 1,66,000.00
Total 5,36,000.00
Means of Finance
Particulars Amount

Promoters Contribution 1,00,000.00

Term Loan from Bank 2,50,000.00


Working Capital Loan from Bank 1,00,000.00
Total 5,36,000.00

Working Capital Requirements

Sl. No. Item Period Amount (Rs)


1 Stock of raw material 25 days 81,750.00
2 Work in process 2 days 6,540.00
3 Stock of finished goods 3 days 9,810.00
4 Receivable 15 days 49,050.00
5 Working expense 30 days 39,150.00
Total 1,86,300.00
Rounded to 1,86,000.00

Production and Sales at 60% Capacity (Month)

No. Item Quantity Unit Rate Amount (Rs)


1 Fried Chips 100 kg 75 7,500.00
2 Pakka Vada, Mixture, Sweet fry etc 70 kg 70 4,900.00
3 Cake of different types 150 kg 300 45,000.00
4 Puffs Cutlet Samosa 15,000 Nos. 5 75,000.00
5 Other food items 7,500 Nos. 5 37,500.00
Total 1,69,900.00
Cost of Production and Profitability Analysis

Particulars 1st Year


No. of working days 300
No. of shifts 1
Installed Capacity 27,74,000.00
Capacity Utilization 60%
Production 20,38,800.00
Sales 20,38,800.00
Cost of Production
Raw materials 9,81,000.00
Salaries 42,000.00
Wages 3,24,000.00
Power Charges 33,600.00
Repairs & Maintenance 7,000.00
Insurance 3,500.00
Depreciation 35,000.00
Total 14,26,100.00
Gross Operating Profit 6,12,700.00
Administrative & Selling expenses 70,200.00
Financial Expenses
1. Interest on Term loan 39,420.00
2. Interest on WC loan 20,860.00
Total 1,30,480.00
Net Operating Profit 4,82,220.00
Income Tax 13,000.00
Net Profit 4,69,220.00
Withdrawals 1,00,000.00
Add Depreciation 35,000.00

Cash Surplus 4,04,220.00

BREAK EVEN ANALYSIS


Sales 20,38,800.00
Variable cost 14,14,660.00
Contribution 6,24,140.00
Fixed cost 1,41,920.00
BEP (%) 23%

Conclusion
On examining the technical aspects like Ice Cream or Snow Cone Stand business is poised for success with
its strategic location, quality products, and efficient manufacturing process.

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