FEASIBILITY REPORT ON LIQUID SOAP PRODUCTION

TABLE OF CONTENTS

Executive Summary                                                              1

Introduction to the business Plan                                        2

CHAPTER ONE

1.0       Personal Information of Entrepreneur

          and History of the Project                                            3

1.1    Educational Qualification                                            3

1.2       Special Training                                                            4

1.3       Work Experience                                                          4

1.4       Reasons for starting Business                                     4

1.5       Name of Business                                                        4

1.6       Other Relevant Information                                         5

1.7       Referees                                                                        5

CHAPTER TWO

2.1       Products                                                                       6

2.2       Production Processes in Detail                                   6

2.3       Raw Materials Specification and Requirement           8

2.4       End Products Standards                                             9

2.5       Capacity of Plant                                                          9

2.6       Quality Control                                                             9

2.7       Layout and Process Planning                                      9

2.8       Inventory Control                                                         10

2.9       Utilities                                                                          10

2.10    Location                                                                        10

CHAPTER THREE

3.0    Organisation and Manpower                                       11

3.1    Organisational Chart                                                   11

3.2       Labour                                                                          12

CHAPTER FOUR

4.0       Market Survey and Research                                      13

4.1.1 Estimated Demand for Product                                  13

4.1.1.1   Buying Criteria and Influencing Factors               14

4.1.2 Estimated Supply for Product                                     14

4.1.3  Estimated Supply – Demand Gap                               15

4.1.4  Names of Present Suppliers and their share

          of the Market                                                                15

4.1.4.1Weakness and strength of Competitors                    16

4.1.5  Areas to be covered                                                      16

4.1.6  Share of the Market Entrepreneur plans to satisfy    17

4.2       Prevailing Unit Price of Product                                  17

4.3       Proposed Pricing Policy And Why?                             17

4.4       Product Mix and Varieties                                           18

4.5       Proposed Distribution, System and Detailed

Description                                                                   18

4.5.1  Estimated of Annual Sales Revenue Projected

          for 5 years                                                                     18

4.5.2  Estimate of Annual Sales and Distribution

          cost on Monthly Basis, (Promotion, Sales,

          Commissions, Discounts etc)                                     

          Projected for 5 years                                                    20

4.6       Present Prevailing Market Practices                           20

4.6.1  Distribution and Credit Policy                                    20

4.6.2  Delivery and after Sales Service                                  20

4.6.3  Purchasing Procedures, time and Practices

          Prevailing                                                                      20

4.7       Market Plans and Strategies                                       21

CHAPTER FIVE

5.0       Total Project Cost                                                         22

5.1    Capital Costs                                                                22

5.2       Preliminary And Pre-Operative Expenses                  23

5.3       Administrative Expenses                                             24

5.4       Provision for Working Capital                                     24

5.5       Summary for Total Cost of the Project                        25

5.6       Means of finance.                                                         25

CHAPTER SIX

6.0       Financial Viability of the project                                  26

6.1    Projected profit and loss account for five years         26

6.1.1 Assumption                                                                  27

6.2       Projected Cash flow for the first five years                  30

6.3       Projected Balance Sheet for five years                        30

6.4       Break Even point Analysis                                          31

6.5       Financial Analysis                                                        33

6.6    Project Implementation Planning                                34

CHAPTER ONE

1.0     PERSONAL INFORMATION ON ENTREPRENEUR AND HISTORY OF THE PROJECT

Name:                           

Date of Birth:                                   Age: 

Marital Status:    

Sex:                     

1.1    EDUCATIONAL QUALIFICATION

1.2   SPECIAL TRAINING

1.3    WORK EXPERIENCE

1.4    REASONS FOR STARTING THE BUSINESS

To satisfy the need of people and to make money

1.5    NAME OF BUSINESS

The Unique Venture

1.6    REFEREES

CHAPTER TWO

2.0       TECHNICAL FEASIBILITY

2.1    PRODUCTS TO BE OFFERED  

The product to be manufactured is liquid soap and a bye-product which is glycerin.

Liquid soap are used for domestic or general washings.  It comprises of several chemicals like caustic soda which determines the quality of the output, palm kernel oil to neutralize the castic. Sulphuric acid which is the lathering agent, colourant and fragrance of personal choice, Hydrogen perioxide to enhance the colour and soda ash.

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