INTRODUCTION

Subhash Aggarwal, proprietor of Subhash Timber Traders. He has done

M.A. Eco. From Punjab ni!ersit". The famil" bac#ground was !er"
sound i.e. the" ha!e their parental business of Timber in $amuna %agar.
&asicall" the" are whole sellers of Timber. The" supplied all o!er 'elhi,
P, Har"ana and also ha!e direct suppl" to (ailwa".
%ow, he has his shop and godown in )ana# Puri. Toda" he owns the
assets worth *.+ crore and has a stoc# of , crore in the shop. He also
started another business of &uilder also.
HOW DID THE IDEA COME
-hile he was doing his MA, he stuc# with the idea of opening his new
business in 'elhi. &ecause while stud"ing he offers goes to the mar#et
and that the margin of the retailer in 'elhi to more than the margin the"
earn in wholesaling. So he decided to open a shop in 'elhi. So after
finishing his MA .Eco/. He decided to go to 'elhi start his new business
because he saw that in 'elhi these to more opportunit" than in $amuna
%agar. %ow he pro!es it right because the assets and the goodwill he
ma#e no other brother can ma#e it while sta"ing in $amuna %agar.
INITIAL ENVIRONMENT
Finance0
He start the business with 1 truc# of Timber wood appro2. around *33334
+3333 and had got onl" +333 cash i.e. for month e2penditure include the
rent shop and rented home. He has famil" support of Timber i.e. there is
no problem for pa"ing goods cost in ad!ance. The" sa" first "ou sell then
pa"bac# later.
Support of Family0
There is good support of the famil" i.e. the" ne!er restrict him for going
'elhi for their new business. &ut the" support them b" the goods i.e.
timber. Also the" sent some aids to him in the form of cash for the
monthl" e2penditure.
Also it is a parental business, so he ne!er found difficult to start new
business in 'elhi. &ecause he new all the !ariet" and 5ualit" of woods
and also he has the good co!ering power.
Market Opportunity0
He decided to start his business in )ana# Puri wh" he chosen )ana# Puri6
&ecause )ana# Puri is the biggest colon" of Asia at that time and the
de!elopment is just started and the allotment of plots ha!e been ta#en
place. So he saw that it was a big mar#et for his business. Also, the
opportunit" is more at that time. The mar#et feeds )ana#puri, 7i#as Puri,
Tila# %agar, ttam %agar i.e. 8t has big mar#et to feed also there was onl"
few shops at that time. This was also a reason to set up a business in that
mar#et.
Own Capability0
As it is a famil" business so he #nows all the loop4holes of the business
and has abilit" to understand the business !er" well. He has a good
communication s#ill and ha!e a good #nowledge of mar#et prospecti!e.
As, he was post4graduate, he used to ma#e the decision more
comfortabl".
START-UP
Finance0
The initial finance he gets to start his business is onl" +3333. -hich too in
the forms of goods and had onl" +333 in monetar" terms for the
e2penditure.
Business Plan0
As it is a timber shop. So it has mainl" based upon contractor, builders
and the carpenters. So he has to ma#e contacts with builders and
contractors.
Marketing0
He used banners and holdings for ma#ing the ad!ertisement of shop. He
also used the side boards for ad!ertisement. He also !isit some good
builders and contractors and con!ince them to bu" timber from him. He
also gi!e credit to them to start the business.
Employment Management0
As it is a starting concern so there is not much emplo"ment has to be
ta#en. There is onl" , paladar and 149 ric#shaws and he himself to attend
the customers.
&ut now he has 94* paladars, * sales man and 1 super!isors and :4,3
ric#shaws and also ha!e ; men for ara machine.
BREAK-EVEN POINT
As he started his business on a rental land. So first he decided to
purchase the rented shop and a godown as soon as possible. So he
achie!e the brea# e!en point in +4; "ears. &ecause all the mone" he
earned in those "ears had been collected b" them and in!est them in
bu"ing propert".
SUCCESS FACTORS
The trul" success of his business depends upon him i.e. how he beha!es
to customers. <on!incing power to con!ince the customer and the plus
point is that he was come from a wholesaler famil" so he get the good
5ualit" of timber at cheaper price.
,. Individual raits0
Means the own capabilities and 5ualities lies inside the person. He is
!er" hard wor#ing and has full dedication towards wor#. He used to
gi!e dut" from :am to =pm and all > da"s of the wee#. The inner
5ualities he has got from the parental is lies inside him. As he a son
from &ani"a famil" so he !er" well #nows about the business principle.
1. Internal factor0
The main internal factor for his success that he get full support from his
famil" i.e. in terms of gi!ing credit of timers and also he has get
support from other member of famil" who sta"ed in )ammu. As he get
the timber from )ammu or their behalf and he has to pa" them later.
&ecause in 'elhi, there is more demand of )ammu timber rather than
from Himachal.
9. E!ternal factor0
As there was onl" few shops in the mar#et. So he get the opportunit"
to ha!e a good business in that mar#et. He also decided to ta#e the
other end of the mar#et. So that he a!oid competition with others. &ut
now the shop is the %o., shop of timber in that mar#et and the rest
shop who are alread" e2ist ha!e ne!er compete him.
CO"E"S
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Submitted to:
Prof. A. A. Sri!asta!a
Submitted b:
Amit Aggarwal
Finance Section .7th Semester/
Fall -inter ,:::4133,
I"(I#" I"SI&E OF P)#""I"* #"( M#"#*EME"