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Project Feasibility Report On A Instiutes School College
Project Feasibility Report On A Instiutes School College
INSTITUTE OF MANAGEMENT
INTRODUCTION
PROJECT BRIEF
Describes the investment opportunity about setting up a Institute of providing educational & training services in Management sector. Institute is established in outskirts of Delhi. It offer following courses in the initial phase :1. MBA 2. MBA Actuarial Sciences 3. MBA Banking R.K.O. 4. MBA insurance business 5. MBA computer aided management 6. MBA international business
PROJECT COST
Total investment in the project is around Rs.10 crores including a working capital requirement of approx Rs. 5.40 crore.
Total Investment (Rs.) Capital Cost * Working Capital * 10,00,00,000 4,59,70,000 5,40,30,000
PROPOSED COURSES
NAME OF THE COURSE MBA MBA Actuarial Sciences MBA Banking MBA insurance business MBA CAM MBA international business EXPECTED STUDENTS 60 60 60 60 60 60 SUGGESTED FEE (in Rs.) 50,000 50,000 50,000 50,000 50,000 50,000
TECHNICAL FEASIBILITY
PROPOSED CAPACITY
The capacity of the R.K.O Institute of Management at any point in time is almost 400 students per annum.
INDUSTRY OVERVIEW
On India, around 1 lakh management students become graduates and from which around 66.16 % students take Post-Graduate courses in management. In year 2000 there are 70,000 MBA seats offered by the institutes which is now increased to 1,20,000 seats in the year 2009 which is a increase of 71.4 % and is expected to increase further on.
OF THE CAMPUS
LAYOUT
2 Management buildings :20 Class Rooms 6 Staff rooms 4 Labs 12 Toilets 1 Conference Room 1 Auditorium 1 Library 1 seminar room
Description
R.K.O.
Cafeteria
Play Ground
Parking
POWER ESTIMATION
The power consumed in the institute will be of approx Rs.20,00,000 consuming an estimated amount of 4,00,000 units of electricity at the rate of Rs.5 per unit.
R.K.O
POWER
RK O
The cleaning and security agency will be outsourced from Classic Facility Management Services (cleaning) and Securicar Services (security) at an annual contract for 3 years and 2 years respectively. The annual amount payable to Classic Facility Management Services is Rs. 1,20,000. The annual amount payable to Securicar Services is Rs. 2,00,000 with certain clauses.
SALES PROJECTION
open invitations to the prospective candidates i.e. a total of 100 students in the first year. 200 students and 400 students through its massive promotional strategies in 2nd year and 3rd year respectively.
MARKET ANALYSIS
TARGET MARKET
It is divided into various market segments which depends primarily on the city and locality in which this institute is to be established. This target market is divided into two major groups : Students candidates coming directly from graduation. Candidates with work experience.
STRATEGIC PLAN
of high quality education and that too in cities & places where quality education is not easily available. Good quality education would mean hiring qualified instructors and offering a reasonably wide range of education services in a technologically well equipped environment.
O K R
Provision
FINANCIAL FEASIBILITY
CAPITAL REQUIREMENTS
TOTAL INVESTMENT 10,00,00,000 MRB 2,00,00,000 MR A 2,00,00,000 Rohit Gujral Collections Ltd. 3,50,00,000 Bank Loan 2,50,00,000
32,000 5,000 5,000 2,000 1,67,000 15,00,000 36,000 75000 3,29,70,000 30,00,000 3,59,70,000
FINANCIAL STATEMENTS
Particulars
Salary Power Interest on Loan @ 10% p.a AICTE registration chg closing balance
Total
7,06,30,000
7,06,30,000
Particulars
promotional expenses Salary Power Interest on Loan @ 10% p.a closing balance
Total
6,34,80,000
6,34,80,000
Particulars
promotional expenses Salary Power Interest on Loan @ 10% p.a closing balance
Total
7,13,40,000
7,13,40,000
INCOME STATEMENT
Particulars Year 1 ( in Rs.) Year 2 (in Rs.) Year 3 ( in Rs.)
Revenues (A)
1,50,00,000
4,50,00,000
6,00,00,000
General and administrative expenses Administrative expenses Rental Communication Expenses promotional expenses Salary Power Interest on Loan @ 10% p.a Depreciation on equipment Depreciation on furniture AICTE registration chg 12,00,000 2,40,00,000 2,40,000 12,00,000 2,37,00,000 24,00,000 10,00,000 32,97,000 3,00,000 10,000 12,00,000 2,40,00,000 2,40,000 12,00,000 2,37,00,000 24,00,000 10,00,000 32,97,000 3,00,000 12,00,000 2,40,00,000 2,40,000 12,00,000 2,37,00,000 24,00,000 10,00,000 32,97,000 3,00,000
5,73,47,000 (4,23,47,000)
5,73,37,000 (1,23,37,000)
5,73,37,000 26,63,000
Other incomes Cafeteria Interest on FD @ 10% pa Net Profit / Loss 6,00,000 10,00,000 (4,07,47,000) 6,00,000 10,00,000 (1,07,37,000) 6,00,000 10,00,000 42,63,000
ASSETS
Fixed Assets Fixed deposits 1,00,00,000 1,00,00,000 1,00,00,000
3,29,70,000
2,96,73,000
2,63,76,000
30,00,000
27,00,000
24,00,000
less: depreciation
3,00,000
27,00,000 47,93,000
24,00,000
3,00,000
21,00,000
1,68,80,000 5,92,53,000
97,40,000 4,85,16,000
1,76,00,000 5,27,79,000
LIABILITIES
Capital
Ankit Nag Net Profit / Net Loss 2,00,00,000 (1,35,82,333) 64,17,667 64,17,667 (35,79,000) 28,38,667 28,38,667 14,21,000 42,59,667
2,00,00,000 (1,35,82,333)
3,50,00,000
2,14,17,666
1,78,38,666
(1,35,82,334)
2,14,17,666 (35,79,000)
1,78,38,666
14,21,000
1,92,59,666
Total Liabilities
5,92,53,000
4,85,16,000
5,27,79,000
CONCLUSION
There is a massive need of business education in India thus we took the opportunity to start a MBA institute. It had intake of 100 students in the 1st year and due to our massive promotion techniques it was increased to 200 students & 400 students in 2nd and 3rd Year respectively. Also , the funds were utilized majorly in the equipments purchased. The land and building was taken on lease. Overall, the business feasibility shows that the business is feasible, successful and is profitable from 3rd year. So, overall the business idea has a huge potential.