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BB--PlanPlan

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ContentsContents

IntroductionIntroduction ObjectivesObjectives

MissionMission

VisionVision

Product informationProduct information

Capital investmentCapital investment

ExpenditureExpenditure

Annual productionAnnual production Market strategyMarket strategy

TargetTarget

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IntroductionIntroduction

Coorg Coffee Pvt.LtdCoorg Coffee Pvt.Ltd

Its a small scale industries.Its a small scale industries.

Location is Coorg in Karnataka.Location is Coorg in Karnataka. Composition of coffee includes Robusta,Composition of coffee includes Robusta,

Arabica and chikori.Arabica and chikori.

Industrial area=0.5acreIndustrial area=0.5acre

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ObjectivesObjectives To open and operate a successful coffeeTo open and operate a successful coffee

powder industry and distributorship in thepowder industry and distributorship in themarket.market.

To obtain a minimum of 100 regular customersTo obtain a minimum of 100 regular customersin the market the first year of operation.in the market the first year of operation.

Achieve first year sales of Rs10,80,000/Achieve first year sales of Rs10,80,000/--..

Maintain an average gross margin of 50Maintain an average gross margin of 50

percent.percent. To produce a net profit of at least Rs2,00,000To produce a net profit of at least Rs2,00,000

by the end of 1 year of operation .by the end of 1 year of operation .

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MissionMission

The Coffee Warehouse intends to become aThe Coffee Warehouse intends to become arecognized distributor of the beveragerecognized distributor of the beverage

throughout the target area.throughout the target area.

The Coffee Warehouse plans to develop strongThe Coffee Warehouse plans to develop strongrelationships with key customers so we will berelationships with key customers so we will be

viewed as indispensable partners, rather thanviewed as indispensable partners, rather than

just another supplier.just another supplier.

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VisionVision

Increase customer service and provide betterIncrease customer service and provide better

quality.quality. Increase production rate per annum and theIncrease production rate per annum and the

growth in the market.growth in the market.

Expansion of business throughout the countryExpansion of business throughout the countryinitially and gradually world wideinitially and gradually world wide

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Product InformationProduct Information

Filter coffee made from a composition of 60%Filter coffee made from a composition of 60%

of Robusta,30% of Arabica and 10% ofof Robusta,30% of Arabica and 10% of

Chikori.Chikori. Dried Coffee cherries are brought directlyDried Coffee cherries are brought directly

from the planter as per requirement during thefrom the planter as per requirement during the

season.season.

Hulling, blowing,Grading and powdering ofHulling, blowing,Grading and powdering of

the mixture is done in the industry .the mixture is done in the industry .

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Capital InvestmentCapital Investment

Total investment=Rs72,00,000/Total investment=Rs72,00,000/--

25% will be invested by the business partners.25% will be invested by the business partners.

75% will be taken as bank loans as long term75% will be taken as bank loans as long termloan as well as short term loan.loan as well as short term loan.

Long term loan=Rs57,09,000/Long term loan=Rs57,09,000/--

Short term loan=Rs14,91,000/Short term loan=Rs14,91,000/--

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ExpendituresExpenditures

Land and building=Rs2,00,000 & Rs50,00,000Land and building=Rs2,00,000 & Rs50,00,000

Cost of Raw materials:Cost of Raw materials:

Robusta=Rs 38/ kgRobusta=Rs 38/ kg

Arabica=Rs 50/kgArabica=Rs 50/kg

Chikori=Rs10/kgChikori=Rs10/kg

Machinery =Rs 6,40,000/Machinery =Rs 6,40,000/--

Electricity=Rs 7,00,000/Electricity=Rs 7,00,000/-- per annumper annum

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Transportation=Rs 2,00,000/Transportation=Rs 2,00,000/-- Advertisement=Rs 90,000/Advertisement=Rs 90,000/--

Packaging=Rs50,000/Packaging=Rs50,000/--

15 Employees=Rs75,000per year15 Employees=Rs75,000per year

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Annual productionAnnual production

100kg of coffee powder can be produced per day100kg of coffee powder can be produced per day

Therefore annual production rate of the powder willTherefore annual production rate of the powder willbe 36,000kg.be 36,000kg.

Annual Requirement of coffee,Annual Requirement of coffee,

Robusta=21900kgRobusta=21900kg

Arabica=10950kgArabica=10950kg

Chikori=3,650kgChikori=3,650kg

Total requirement of coffee per year =36,500kgTotal requirement of coffee per year =36,500kgConsidering 5% storage loss,the total requirement ofConsidering 5% storage loss,the total requirement ofcoffee per year is 38,422kgcoffee per year is 38,422kg

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Marketing StrategyMarketing Strategy

Free sampling of 20,000 coffee sachets of 2Free sampling of 20,000 coffee sachets of 2

grams each.grams each.

Sales Promotion through Radio, newspapersSales Promotion through Radio, newspapersetc.etc.

Distribution network through wholesalers.Distribution network through wholesalers.

Distribution in our ownF

actory site.Distribution in our ownF

actory site.

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TARGET!!TARGET!!

Since the industry is set up in karnataka,it willSince the industry is set up in karnataka,it will

be one of the major region of target.be one of the major region of target.

Initially West India as there is no coffeeInitially West India as there is no coffeegrowing land.growing land.

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THANKYOUTHANKYOU