PCTE Group of Institutes,
Ludhiana
COURSE: BBA
SEMESTER: 4
Entrepreneurship Development
TOPIC: Business plan for starting your own business with the idea and
reasons for starting it
NAME: Sneha Jain
[Link]: 2123299
OFFICIAL E-MAIL ADDRESS: snehapctebba@[Link]
INTRODUCTION:
I am planning to start a business that provides eco-friendly and sustainable
packaging solutions for businesses in India. The packaging industry in India is
one of the largest in the world, and there is a growing demand for eco-friendly
and sustainable packaging solutions. The business will operate under the name
"GreenPack India."
MARKET POTENTIAL:
The packaging industry in India is estimated to be worth over $32 billion, with
steady growth projected in the coming years. The demand for eco-friendly and
sustainable packaging solutions is expected to grow due to factors such as
increasing environmental concerns, government regulations, and a growing
awareness among consumers about the need for sustainable products. With a
focus on eco-friendly and sustainable packaging solutions, there is a significant
opportunity to serve businesses who are looking for ways to reduce their
environmental impact.
LOCATION:
The business will be located in a commercial area that is easily accessible to
businesses. It will be situated in an area with high foot traffic and visibility, with
easy access to transportation. The location will be chosen based on factors such
as affordability, accessibility, and the availability of resources.
TECHNICAL ASPECTS:
The business will use modern technology to design and manufacture eco-
friendly and sustainable packaging solutions. The packaging will be made from
renewable and biodegradable materials such as bamboo, sugarcane bagasse, and
wheat straw. The technology will be regularly updated to ensure that the
products remain relevant and up-to-date.
FINANCIAL ASPECTS:
The fixed capital investment required for starting the business will be
approximately INR 50 lakhs. This will cover the cost of setting up the
infrastructure, developing the technology, and hiring staff. The working capital
requirement will be approximately INR 20 lakhs, which will cover the day-to-
day expenses of the business. The plant and machinery required will include
equipment necessary for manufacturing eco-friendly and sustainable packaging
solutions.
FIXED CAPITAL:
The fixed capital investment required for starting the business will be INR 50
lakhs. This includes expenses for setting up the infrastructure, purchasing
equipment and machinery, and developing the technology. The fixed capital
investment will be utilized for the following expenses:
Rental deposits and leasehold improvements: INR 15 lakhs
Equipment and machinery: INR 20 lakhs
Raw material inventory: INR 5 lakhs
Research and development: INR 5 lakhs
Marketing and branding expenses: INR 5 lakhs
WORKING CAPITAL:
The working capital requirement for the business will be INR 20 lakhs. This
includes expenses such as salaries, utilities, rent, and other day-to-day
operational expenses. The working capital will be utilized for the following
expenses:
Employee salaries: INR 8 lakhs
Rent and utilities: INR 4 lakhs
Raw material purchase: INR 4 lakhs
Marketing and advertising expenses: INR 2 lakhs
Contingency fund: INR 2 lakhs
PLANT AND MACHINERY:
The plant and machinery required for the business will include equipment
necessary for manufacturing eco-friendly and sustainable packaging solutions.
The machinery will be sourced from reliable and reputed manufacturers to
ensure high quality and durability. The cost of plant and machinery is
estimated to be around INR 20 lakhs.
SOURCES OF FINANCE:
The sources of finance for the business will include personal savings, bank
loans, and investments from venture capitalists. The founder will invest INR 10
lakhs from personal savings. The remaining INR 60 lakhs will be raised through
bank loans and investments from venture capitalists. The business will also
consider crowdfunding as a means of raising capital.
PROJECTED SALES:
The business aims to generate revenue of INR 1 crore in the first year of
operations, with a growth rate of 30% in the subsequent years. The revenue
will be generated through the sale of eco-friendly and sustainable packaging
solutions to businesses across India. The business will target small and
medium-sized businesses in various industries, including food and beverage,
healthcare, e-commerce, and retail. The pricing strategy will be competitive,
with a focus on providing value to customers while ensuring profitability for
the business. The business will also explore opportunities to offer additional
services, such as consultancy on sustainable packaging solutions, to increase
revenue.
CONCLUSION:
In this, GreenPack India aims to provide eco-friendly and sustainable packaging
solutions to businesses in India. The business has significant potential to grow
and scale due to the growing demand for eco-friendly and sustainable
packaging solutions in India. With a focus on technology and innovation,
GreenPack India will aim to provide businesses with the best eco-friendly and
sustainable packaging solutions available.
