A BUSINESS PLAN ON

“BRIDAL HOUSE”

SUBMITTED TO,

JSS SCIENCE AND TECHNOLOGY UNIVERSITY, MYSURU

In partial fulfilment of the requirements for the award of Degree of

MASTER OF BUSINESS ADMINISTRATION

SUBMITTED BY,
AKHILA M T
(01JST21PFM006)
JSS Centre for Management Studies
Mysuru – 570006

UNDER THE GUIDANCE OF,

Dr. ANUPAMA SUNDAR D

Associate Professor
Department of MBA
JSS CMS
JSS Science and Technology University
Mysuru – 570 006

JSS CENTRE FOR MANAGEMENT STUDIES

JSS SCIENCE AND TECHNOLOGY UNIVERSITY
JSS Technical Institutions Campus, Mysuru 570006
JSS Science and Technology University
2021-23
 DECLARATION

I, AKHILA M T, a student of Master of Business Administration at JSS Centre for Management

Studies, JSS Science and Technology University, JSS Technical Institution Campus, Mysuru,
hereby declare that this Business plan entitled “BRIDAL HOUSE” is a record of an original and
independent work carried out by me during the year 2023, in my III semester of the course under
the guidance of Dr. ANUPAMA SUNDAR D, Associate Professor at JSS Centre for
Management Studies, JSS Science and Technology University, JSS Technical Institution Campus,
Mysuru, submitted to JSS SCIENCE AND TECHNOLOGY UNIVERSITY, MYSURU, in
partial fulfilment of the requirements for the award of Master of Business Administration.

I further declare that this business plan and report has not formed the basis for the award of any
other diploma or degree of any institution or university.

PLACE: MYSURU NAME: AKHILA M T

DATE:07/06/2023 USN: 01JST21PFM006

 ACKNOWLEDGEMENT

Any presentation completed successfully gives a great sense of achievement and satisfaction. The
Entrepreneurship development program would remain incomplete if the people who made it
possible and whose constant guidance and encouragement go without mention.
I would like to express my gratitude to Dr. P NAGESH, Dean and Professor, JSS Centre for
Management Studies, Mysuru. For always being a great source of inspiration for providing me a
congenial environment for carrying out the Entrepreneurship development program.
I would also like to express my gratitude to Dr. SWAROOP SIMHA, Professor and Head of
Department, JSS Centre for Management Studies, Mysuru. For always being a great source of
inspiration for providing me a congenial environment for carrying out the Entrepreneurship
development program.
I express my heart filled thanks to Dr. ANUPAMA SUNDAR D, Associate Professor, JSS
Centre for Management Studies, Mysuru, who is also my Entrepreneurship development program
guide. Her constant support, inspiring guidance and persistent help has provided useful insights
into the issues being addressed in project work at various stages during its execution. Her
guidance and support go beyond words.
I would like to thank my parents and friends for their cooperation and God, the Almighty, for his
blessings and strength.

AKHILA M T
USN: 01JST21PFM006
JSS Centre for Management Studies
Mysuru – 570 006
 JSS CENTRE FOR MANAGEMENT STUDIES
JSS SCIENCE AND TECHNOLOGY UNIVERSITY
JSS TECHNICAL INSTITUTIONS CAMPUS,
MYSURU-570006

CERTIFICATE

This is to certify that, AKHILA M T (USN: 01JST21PFM006) a student of Master of Business

Administration at JSS Centre for Management Studies, JSS Technical Institution Campus,
Mysuru, India, has carried out an Entrepreneurship development program and submitted a report
on “BRIDAL HOUSE” in partial fulfilment of the requirements of the award of MASTER OF
BUSINESSES ADMINISTRATION.

Ms. AKHILA M T has worked under my guidance and the report is recommended for submission.

Dr. ANUPAMA SUNDAR D

Associate professor
Department of JSS CMS
JSS Science and Technology University
Mysuru – 570006

DATE: 0 6 / 06 /2023
PLACE: MYSURU
 JSS CENTRE FOR MANAGEMENT STUDIES
JSS SCIENCE AND TECHNOLOGY UNIVERSITY
JSS TECHNICAL INSTITUTIONS CAMPUS,
MYSURU-570006

CERTIFICATE

This is to certify that, Ms. AKHILA M T (USN: 01JST21PFM006) a student of Master of

Business Administration at JSS Centre for Management Studies, JSS Technical Institution
Campus, Mysuru, India, has carried out an Entrepreneurship development program and submitted
a report on “BRIDAL HOUSE” in partial fulfilment of the requirements for the award of
MASTER OF BUSINESS ADMINISTRATION.

DR. SWAROOP SIMHA Dr. P NAGESH

Prof and Head of Department Prof and Dean
Dept of JSS CMS Dept of JSS CMS
JSS Science and Technology University JSS Science and Technology University
Mysuru – 570006 Mysuru - 570006
 Table of Contents
CHAPTER 1 ..................................................................................................................................... 2
EXECUTIVE SUMMARY............................................................................................................ 2
CHAPTER 2 ..................................................................................................................................... 3
INDUSTRY ANALYSIS:.............................................................................................................. 3
CHAPTER 3 ..................................................................................................................................... 7
MARKET ANALYSIS: ................................................................................................................. 7
CHAPTER 4 ................................................................................................................................... 12
SWOT ANALYSIS: .................................................................................................................... 12
CHAPTER 5 ................................................................................................................................... 14
HR ANALYSIS ........................................................................................................................... 14
CHAPTER 6 ................................................................................................................................... 21
Organization structure: ................................................................................................................ 21
CHAPTER 7 ................................................................................................................................... 22
OPERATIONAL ANALYSIS ..................................................................................................... 22
CHAPTER 8 ................................................................................................................................... 36
SUMMARY OF FINANCIALS .................................................................................................. 36
CHAPTER 9 .................................................................................................................................. 51
CONCLUSION: .......................................................................................................................... 51

1
CHAPTER 1

EXECUTIVE SUMMARY

This executive summary provides an overview of the bridal services industry,

highlighting key trends, market potential, and growth opportunities. Bridal
services encompass a range of offerings tailored to meet the needs of brides and
grooms as they plan and prepare for their weddings. These services typically
include wedding planning, venue selection, bridal attire, makeup and hair styling,
photography and videography, and other related services. The bridal services
industry has witnessed consistent growth over the years, driven by increasing
disposable incomes, changing social norms, and a growing desire for personalized
and unique wedding experiences. The global wedding industry is estimated to be
worth billions of dollars, and the demand for professional bridal services is
expected to remain strong. Modern couples seek personalized experiences that
reflect their unique tastes and preferences. Bridal service providers can capitalize
on this trend by offering tailored packages, creative themes, and bespoke services.
Embracing technology is crucial for staying competitive in the bridal services
market. Utilizing digital platforms for marketing, online booking, virtual
consultations, and showcasing portfolios can enhance customer reach and
convenience. The bridal services industry is highly competitive, with numerous
players ranging from small boutique firms to large event management companies.
Differentiation through unique service offerings, exceptional customer service,
and effective marketing strategies is essential to stand out in this crowded market.

2
 BRIDAL HOUSE
CHAPTER 2

INDUSTRY ANALYSIS:

Bridal house is a service oriented business, which provides multiple services such as
stitching, boutique, mehendi and makeup services coming all together in one place which will
be a Bridal house. The perfect place for every Bride to customize her looks her big day. This
business is related to the clothing and cosmetics industry.

The Bridal house might be service oriented but it best fits into clothing and cosmetics
industry, because it includes the stitching, boutique and makeup. A stitch is a single turn or
loop of thread or yarn. Stitches are the fundamental elements of sewing, knitting, embroidery,
crochet, and needle lace-making, whether by hand or machine. Clothing industry growth rate
in India is revenue in the apparel market amounts to US $96.47bn in 2023. The market is
expected to grow annually by 3.34% (CAGR 2023-2027) Cosmetics industry describes the
industry that manufactures and distributes cosmetic products. The market size measured by
revenue of the cosmetic and beauty products manufacturing industry is $48.8bn in 2023,
cosmetics includes color cosmetics, like foundation and mascara, skincare such as
moisturizers and cleansers etc.

3
The demand for textile will rise by manifold, as the global population will touch the 8.1
billion mark by 2025.By the mid-century, this figure would reach 9.5 billion, making to a
staggering11 billion by 2100. Following this, the global apparel market will grow to US $2.1
trillion by 2025.

The beauty industry has become more realistic, natural, sustainable and innovative. The beauty
industry is rapidly evolving due to the speeding up of technology and the changing beliefs of
what “beauty” means. All the brands have been competitive and have economies to higher up.
Taking in note of consumer expectations and behavior, and their effective response is an
important factor to evolve in the Market.

SERVICE ANALYSIS:

Benefits to Customer:

Bridal makeup is used to complement both your features and your wedding outfit, ensuring a
cohesive, superior appearance. Additionally, this type of makeup often involves a significant
amount of prep work and needs to be designed to look excellent in many different settings.
The professional makeup artists keep track of all the new makeup trends and will provide the
brides with all the options of choosing a trend and creating a perfect look for their wedding.
Blending makeup and creating a flawless look also requires the utmost training, which a
professional makeup artist can do well.

The main advantage of the custom tailoring of the bridal outfits at the wedding dress
boutiques is the absence of any restrictions on the way toward your imagination. Moreover,
you can completely satisfy your impulse towards self-expression. Thus, choosing the custom
tailoring, you have a fantastic chance to design your own wedding dress. Also, think about
your bridal look to the smallest details. As a result, you will get the bridal outfit that will fully
meet your vision of wedding fashion and eloquently declare the uniqueness of your inner
world.

India is home to weddings and festivals, and both of these are quite incomplete if the hands
are not covered in various floral designs and artistic designs of henna or popularly known in
India as mehendi. This old age art form is adored by almost everyone and for years now, it is
believed to be a crucial step before the onset of various wedding celebrations. In fact, henna

4
is consumed for staining hands with beautiful ochre yellow at such a mass level that
throughout the world India is being associated with the natural dye.

Benefits to Market:

The beauty industry is the place to be creative and express you by making others feel
gorgeous and picture ready. As the beauty industry continues to grow, there is always a
demand for makeup artists. With new and fresh trends emerging every season, this is a wise
choice as a profession that is in high demand in the market. Every film production, party, live
show, wedding, fashion magazine, photo shoot, TV show, fashion show - almost everyone
needs a makeup artist to look perfect

Weddings hold a special place in the heart of every Indian family, regardless of caste, culture
or creed. These represent the pinnacle of a lifetime and are thus financed accordingly. Indeed,
the life's savings of many a family are reserved solely for this occasion, often further
supplemented with loans and borrowings from friends and family. As such, every aspect has
to be perfect. And what is more indicative of the pomp and grandeur of the occasion than the
bride's outfit? Recent years, in particular, have seen this concept expand to include not just
the bride and groom, but the wider wedding party as well. Parents, cousins, and even friends
are all dressed up for the day, frequently in designer and couture wear.

The bride’s hands and feet are beautified with Mehendi (Henna art). It is a part of traditional
values wishing the bride prosperity and good health for her journey ahead. Nowadays,
tradition has moved a step forward. Now, the bridegroom’s hands are also beautified with the
art. The art is so beautiful and eye-catchy that it has clicked neighborhood countries. In
modern times, some institutes teach the art of Henna.

Benefits to Industry:

We all are aware of the solah shringar concept for married women. Traditional makeup and
jewelry give goddesses like aura to Indian brides. Makeup and jewelry have significance in
Indian tradition. Bindi signifies prosperity and luck to the Indian bride. Nobody wants a mess
on her big day. There is nothing good than getting a perfect bridal makeup by professionals
that too at a reasonable price. Indian wedding means a lot of occasions, so to make sure that
you give your best look.

5
The Indian wedding and celebration wear apparel market to grow at a 15% to 17% CAGR
over the Financial Year 2022 to 2025 period, reaching ₹1,325 billion to 1,375 billion by
Financial Year 2025, led by the fundamental nature of the industry, higher spending per
consumer and the increasing trend of multi-day wedding functions in India. The growth in the
industry would be driven by demand from not just the couples but also their close family
members and friends.

Indians take their marriages quite seriously because you live only once right? They want
everything to be perfect from Bride’s lehenga to the wedding decor. Indians' love for a
fairytale wedding has made it a million-dollar industry. The industry benefits billions of
people from a small wedding card designer to a garland maker to a high-end designer label.

VISION:

To be valued as one of the leading bridal service provider company in the wedding industry.

MISSION:

To become the leading bridal service provider in the state by meeting the direct and implied
needs of customer to their satisfaction by the services of committed and skilled team
members.

6
CHAPTER 3

MARKET ANALYSIS:
The wedding industry isn’t one industry per se but many big and small industries that make it
what it is. There are various components that make this industry Rs 3.75 lakh crores
economy. 34% of India’s population is between the ages of 20–39, and close to 10% is
between the ages of 15–19, who will join the marriage-appropriate demographic age group in
the next five years. I think it’s safe to say that the Indian industry is set to grow in the near
future.

Indians spend about $130 billion annually on weddings, making the industry the fourth
largest industry in the country, just behind energy, banking, and insurance as per reports by
The Economist.

The current leader in terms of industry size is the US but it is actually witnessing a negative
growth rate, whereas India is by far the highest in terms of projected growth in the wedding
market.

7
COMPETITOR ANALYSIS:

The Bridal house is a service that provides a bride-to-be all the necessary services such as
makeup, boutique, stitching and mehendi. As Indians take their marriages quite seriously and
they never want to compromise on their big day. So, Bridal house is here to customize ad
satisfy the needs and requirement of every bride-to- be.The wedding industry is a huge market
so there is plenty of competitors can be seen such as event managers, beauty parlors and
boutiques.

 Event managers:

They are considered to be the biggest competitor because they refer the boutiques or anything
that related to bridal services and get commission. They will be having various contacts and
links in this industry.

8
 Beauty parlors:

They have a huge hand in wedding industry as every bride wishes to look perfect on her big
day so no matter whatever the cost of the service, she prefer to choose the best beautician.
They give a package to their clients who include all the services of makeup, facial etc.

 Boutiques:

Mostly south Indians prefer designer blouse on their wedding day and on other
special occasion. The designer blouse can be called as Embroidery or Aari work blouse. As
they are in demand in the market so many stores and shops can be seen of boutiques.

9
COMPETITIVE ADVANTAGE:

The Indian wedding and celebration wear apparel market to grow at a 15% to 17% CAGR
over the Financial Year 2022 to 2025 period, reaching ₹1,325 billion to 1,375 billion by
Financial Year 2025, led by the fundamental nature of the industry, higher spending per
consumer and the increasing trend of multi-day wedding functions in India. The growth in the
industry would be driven by demand from not just the couples but also their close family
members and friends. Though there are many players involved in this wedding industry,
Bridal House actually helps to a Bride-to-be by providing all kinds of services at one place,
where each and everything will be customized according to the bride’s need. Still there is no
such company has set up where all bridal services provided at one place. These circumstances
can be considered as a competitive advantage over the major players in the industry.

POINTS OF PARITY:

The Bridal House marketing strategy in terms of points of parity is to firstly provide all kinds
of bridal services also customize bridal wear and looks according to their needs

POINTS OF DIFFERENTIATION:

Bridal House marketing strategy is designed in such a way to distinguish its company’s
products and service from other competitors. Bridal House contribution in the field of
wedding industry will create a mark by developing a strong value proposition so that the
product or service is attractive to target market.

Key points of differences in the services over the competitors are:

 All services such as bridal makeup, bridal wear and accessories, mehendi will be
provided at one place.
 Every single thing will be analyzed and customized according to bride’s need.
 The bridal package amount will be less compared to the other services that provide
separately
 The services will also be provided for the bridesmaid and their relatives and the offer will
also be given.
 The services are just not limited only to the bride’s but it can also be provided for
functions like baby shower, naming ceremony etc.

10
 Providing all bridal services at one place will save time and there will be reduced stress.

TARGET MARKET:

The Bridal House services target market is the bride-to-be, but it is not just limited to the
Bride’s but the services will also be provided for the functions like baby shower, naming
ceremony and any other Indian functions.

11
CHAPTER 4

SWOT ANALYSIS:

SWOT (strengths, weaknesses, opportunities, and threats) analysis is a method for identifying
and analyzing internal strengths and weaknesses and external opportunities and threats that
shape current and future operations and help develop strategic goals.

Strengths:

 Customization
 Setting up everything related to bride look and wear at one place
 Committed and skilled team members
 Time saving
 The services are just not limited only to the bride’s but it can also be provided for
functions like baby shower, naming ceremony etc.
 From mehendi to till farewell of a bride everything will be designed according to her
needs.

Weakness:

 This business will work out only during wedding season.

 limited service offerings.
 Providing service for other function won’t be much profitable.

Opportunities:

 Opportunity to start new service line.

 Expanding the business according to the response of customer demand
 Open to access in all geographical location across the country
 Collaborating with wedding planners.

12
Threats:

 other competitors may enter the market with the same strategy.
 New environment regulation
 Shortage of skilled workers during the season can be threat
 Raising in raw material cost can be threat to profitability of bridal house

13
 CHAPTER 5

HR ANALYSIS

Number Of staffs required Skilled/Semi Skilled

Total number of staff required to carry out the Bridal House operations are 30 employees out
of which

1. 25 are skilled labours

2. 4 are non-skilled labours

Salaries structure at Bridal House for Skilled Labour

Salary Structure allocated for the employees at Bridal House

SL Employee Total Benefits( Employer Gross
No Designation CTC share of PF & Salary
Employee share of
ESIC at 10%
1 Director 70000 7000 63000
2 COO 60000 6000 54000
3 General Manager 50000 5000 45000
3 Division Managers 40000 4000 36000
4 Financial 30000 3000 27000
Accountants
5 Executive’s 30000 3000 27000
Operations
6 Marketing 30000 3000 27000
Executives
7 HR Executives 30000 3000 27000
8 Office Attenders 12000 1200 10800
9 Security Guard 10000 1000 9000
10 House Keeping 6000 600 5400
Staffs

14
 Salaries structure at Bridal House for Skilled Labour

Skilled Labour Salary Structure

Total Cost
for the
Skilled Employee Number Of Gross Salary Per company
Designation employees Month(INR) per
Month(INR)
Director 1 63000 63000
Chief Operating 1 54000 54000
Officer
General Manager 1 45000 45000
Division Managers 4 36000 144000
Financial 3 27000 81000
Accountant
Executive 8 27000 216000
Operations
Marketing 4 27000 108000
Executives
HR Executives 3 27000 81000
Total 25 792000

Director

He is the head of the firm and controls the overall operation of the firm. Director comes
under the skilled labour category and pays rest of the employees. He is being paid highest
because of the skill set he poses and being the owner of the firm

Chief Operating Officer

COO is like deputy head of the firm and is the head of all the 4 department General Manager
reports to COO. COO comes under the skilled labour category because of the skill sets
(Technical and Functional) and also administrative activities skill he/she possess. Salary paid
is Rs.54000.

15
General Manager

He is the head of all managers and also discharges his duty as delivery head. He checks the
progress and status of all the departments. His role comes under skilled labour category
because of the skills set (Tech, Functional and Operation) he possesses. General Manager is
paid Rs 45000.

Division Managers 4 division managers are the head of all 4 divisions respectively.

1. Finance Manager

He is head of the finance and accounting process of the project. She is highly skilled with
superior knowledge in budgeting, accounting, banking and tax. Therefore she comes under
skilled labour category. Salary allocated is RS 36000.

2. Operations Manager

He is the head of operations and logistics. He is highly skilled with superior knowledge in
operations management from the production to consumption. Therefore he also comes under
skilled labour category. Salary paid for him is 36000.

3. Marketing Manager

He is the head of marketing department. He is highly skilled with knowledge of marketing in

reaching their products to customer by promotions and selling activities. Therefore he also
comes under skilled labour category. Salary paid for him is 36000.

4. HR Manager

He is the head of Human resource department responsible for managing employee’s life
cycle such as recruiting, hiring, on boarding, training and administering employees managing
salaries and pay roll operation. Therefore all this skill sets comes under skilled labour
category. Salary paid for him is Rs 36000.

5. Accountants

They are the financial accountants their major work is concerned with income expenditure,

16
 auditing financial information, compelling and presenting reports, budgeting the business
plan and analyzing accounts and business plan. Therefore they also come under skilled
labour category. Salary paid for them is Rs 27000.

6. Operation Executives

They are key resources of the organization in managing the business such as production,
distribution, service and management. Therefore they also come under skilled labour
category. Salary paid for them is Rs 27000.

7. Marketing Executives

They are one of the vital resources of the organization as they create awareness of their
products to their customers. Personal selling executives and Digital marketing executives
promote their company product. Therefore marketing executives also come under skilled
labour category. Salary paid for marketing executive Rs 27000.

8. Marketing Executives

They are one of the vital resources of the organization as they create awareness of their
products to their customers. Personal selling executives and Digital marketing executives
promote their company product. Therefore marketing executives also come under skilled
labour category. Salary paid for marketing executive Rs 27000.

Salaries structure at Bridal house for Semi Skilled

Un Skilled Labour Salary Structure
Non Skilled Total Cost for the
Employee Number Of Gross Salary Per company per
Designation employees Month(INR) Month(INR)
Office Attenders 2 10800 21600
Security Guard 1 9000 9000
House Keeping Staffs 1 5400 5400
Total 4 36000

17
9. Office Attender

These are semi-skilled labour play an important role in the organization working as
supporting staff helping mangers and higher authority for file movement operations.
Therefore office attenders come under Semi skilled labour category. Salary paid for office
attender Rs 10,800.

10. Security Guard

These are unskilled labour contribute important function of the organization. Take care of
office throughout the day. Salary is based on the number of working hours and their job
shifts. Therefore their nature of work comes under unskilled labour category and salaries
allocated Rs 9000.

11. House Keep Staff

These are unskilled labour contribute important function of the organization. Take care of
office hygiene throughout the day. Salary is based on the number of working hours and their
job shifts in cleaning the building. Therefore their nature of work comes under unskilled
labour category and salaries allocated Rs 5400.

Monthly and Annual Expenses for Bridal House (wrt) employees

Total Monthly Expense for Bridal House wrt employees’ salaries

Monthly Cost 828000

Total monthly cost incurred for Bridal House in term of salary expenses are Rs 8,28,000.

Total Annual Expense for Nelito Inc wrt employess salaries

Months Monthly Expense for the company Annual Expense

January 8,28,000
February 8,28,000
March 8,28,000
April 8,28,000
May 8,28,000

18
 June 8,28,000
July 8,28,000 99,36,000
August 8,28,000
September 8,28,000
October 8,28,000
November 8,28,000
December 8,28,000

Total annual cost incurred for Bridal House in term of salary expenses for a year is Rs
99,36,000 as shown in the above table

Monthly expenses incurred for Bridal House to pay their employees is Rs 828000. Overall
annual Expenses required for Bridal House to pay their employees is Rs 99,36,000.

Selection, Hiring and Training Process

Selection Process

mainly consists of Application, Screening and Pre Selection, Interview, Assessment,

reference and background check, Decision and Job Offer

Training Process mainly Consists

Identifying the training Needs, Getting Ready for the Job, Preparation of the Learner,
Presentation of Operation and Knowledge, Performance Try-Out and Follow-Up and
Evaluation:

19
Bridal House incurs certain amount of expenses for their employees who have newly
joined. This includes expenses for selection, hiring and training as shown below.

Selection, Hiring and Training

Expenses
Selection Hiring
Training Total Expenses
Designations Expense Expenses in
Expenses in Rs in Rs
s Rs
in Rs
Managers 2000 2000 1500 5500
Financial Accountant 1000 1000 3000 5000
Executive Operations 1000 1000 2000 4000
Marketing Executives 1000 1000 2500 4500
HR Executives 1000 1000 2000 4000
TOTAL 23000

Selection, hiring, training expenses for managers, financial accountant, Executive operations,
marketing executives and HR executives as shown in the above table.

20
 CHAPTER 6

Organization structure:
Hierarchy of organization- organization structure of Bridal House

Director/CEO/President

Chief Operating Officer/

Vice president

General Manager/Delivery
head

Finance Department Operations Marketing Department HR Department

Department

Finance Manager Manager operations Marketing Manager HR Manager

Accountants Executives Marketing Executives HR Executives

operations

Unskilled Labour

21
CHAPTER 7

OPERATIONAL ANALYSIS

Outsourcing process

Cosmetics, henna powder and the ingredients required to prepare a henna cone, Aari work
materials (embroidery work for bridal wear) will be bought from the wholesale price from
Bangalore, these materials will be bought and when the booking will be done by a client
those materials will be used such as henna cone will be prepared with all its ingredients to
apply on the hands of bride and her maids. The cosmetics will be used on a bride to give a
perfect look that she dreamt to look on her big day. And if there are too many bookings on a
single day then outside skilled workers will be hired temporarily to provide bridal services.

Service description

BRIDAL SERVICES

Specialized by Customized
company

Developed by Order by customer

company

Once order is placed

this will be
developed as per the
need

Service delivery to
the customer
22
The bridal house provides the bridal services to the clients according to their needs. There will be two kinds of services such as specialized by
company where the company will develop the services that are generally asked or demanded by the customer or clients and the amount for the
services will be fixed by the company. The other one would be customized where client will design the services according to their needs and
requirements and here amount for services won’t be company but the amount will differ According to the needs of a client. Once the booking
will be done the service will be delivered according to the need of a client.

Office/company location
 Hospete, Vijayanagara dist. 583201

Fixed expenses

CALCULATIONS OF FIXED EXPENSES YEAR 1 Total

Months 1 2 3 4 5 6 7 8 9 10 11 12
Maintenance 2,000 2,000 2,000 2,000 2,000 2,000 2,000 2000 2000 2,000 2,000 2,000 24,000
Insurance 3,000 3,000 3,000 3,000 3,000 3,000 3,000 3,000 3,000 3,000 3,000 3,000 36,000
Electricity 8000 8,000 8,000 8,000 8,000 8,000 8,000 8,000 8,000 8,000 8,000 8,000 96,000

Telephone 2,000 2,000 2,000 2,000 2,000 2,000 2,000 2,000 2,000 2,000 2,000 2,000 24,000
&Internet
Transportation 3,000 3,000 3,000 3,000 3,000 3,000 3,000 3,000 3,000 3,000 3,000 3,000 36,000
Office expenses 2,000 2,000 2,000 2,000 2,000 2,000 2,000 2,000 2,000 2,000 2,000 2,000 24,000
Advertisement 2,000 2,000 2,000 2,000 2,000 2,000 2,000 2,000 2,000 2,000 2,000 2,000 24,000
expenses
Office rent 20,000 20,000 20,000 20,000 20,000 20,000 20,000 20,000 20,000 20,000 20,000 20,000 2,40,000

23
 CALCULATIONS OF FIXED EXPENSES YEAR 2 Total
Months 1 2 3 4 5 6 7 8 9 10 11 12
Maintenance 2,200 2,200 2,200 2,200 2,200 2,200 2,200 2,200 2,200 2,200 2,200 2,200 26,400
Insurance 3,300 3,300 3,300 3,300 3,300 3,300 3,300 3,300 3,300 3,300 3,300 3,300 39,600
Electricity 8800 8800 8800 8800 8800 8800 8800 8800 8800 8800 8800 8800 1,05,600
Telephone 2,200 2,200 2,200 2,200 2,200 2,200 2,200 2,200 2,200 2,200 2,200 2,200 26,400
&Internet
Transportation 3,300 3,300 3,300 3,300 3,300 3,300 3,300 3,300 3,300 3,300 3,300 3,300 39,600
Office expenses 2,200 2,200 2,200 2,200 2,200 2,200 2,200 2,200 2,200 2,200 2,200 2,200 26,400
Advertisement 2,200 2,200 2,200 2,200 2,200 2,200 2,200 2,200 2,200 2,200 2,200 2,200 26,400
expenses
Office rent 22,000 22,000 22,000 22,000 22,000 22,000 22,000 22,000 22,000 22,000 22,000 22,000 2,64,000

CALCULATIONS OF FIXED EXPENSES YEAR 3 Total

Months 1 2 3 4 5 6 7 8 9 10 11 12
Maintenance 2,464 2,464 2,464 2,464 2,464 2,464 2,464 2,464 2,464 2,464 2,464 2,464 29,568
Insurance 3,696 3,696 3,696 3,696 3,696 3,696 3,696 3,696 3,696 3,696 3,696 3,696 44,352
Electricity 9,856 9,856 9,856 9,856 9,856 9,856 9,856 9,856 9,856 9,856 9,856 9,856 1,18,272
Telephone 2,464 2,464 2,464 2,464 2,464 2,464 2,464 2,464 2,464 2,464 2,464 2,464 29,568
&Internet
Transportation 3,696 3,696 3,696 3,696 3,696 3,696 3,696 3,696 3,696 3,696 3,696 3,696 44,352
Office expenses 2,464 2,464 2,464 2,464 2,464 2,464 2,464 2,464 2,464 2,464 2,464 2,464 29,568
Advertisement 2,464 2,464 2,464 2,464 2,464 2,464 2,464 2,464 2,464 2,464 2,464 2,464 29,568
expenses
Office rent 24,640 24,640 24,640 24,640 24,640 24,640 24,640 24,640 24,640 24,640 24,640 24,640 2,95,680

24
 CALCULATIONS OF FIXED EXPENSES YEAR 4 Total
Months 1 2 3 4 5 6 7 8 9 10 11 12
Maintenance 2,809 2,809 2,809 2,809 2,809 2,809 2,809 2,809 2,809 2,809 2,809 2,809 33,708
Insurance 4,213 4,213 4,213 4,213 4,213 4,213 4,213 4,213 4,213 4,213 4,213 4,213 50,561
Electricity 11,236 11,236 11,236 11,236 11,236 11,236 11,236 11,236 11,236 11,236 11,236 11,236 1,34,830
Telephone 2,809 2,809 2,809 2,809 2,809 2,809 2,809 2,809 2,809 2,809 2,809 2,809 33,708
&Internet
Transportation 4,213 4,213 4,213 4,213 4,213 4,213 4,213 4,213 4,213 4,213 4,213 4,213 50,561
Office expenses 2,809 2,809 2,809 2,809 2,809 2,809 2,809 2,809 2,809 2,809 2,809 2,809 33,708
Advertisement 2,809 2,809 2,809 2,809 2,809 2,809 2,809 2,809 2,809 2,809 2,809 2,809 33,708
expenses
Office rent 28,090 28,090 28,090 28,090 28,090 28,090 28,090 28,090 28,090 28,090 28,090 28,090 3,37,075

CALCULATIONS OF FIXED EXPENSES YEAR 5 Total

Months 1 2 3 4 5 6 7 8 9 10 11 12
Maintenance 3,258 3,258 3,258 3,258 3,258 3,258 3,258 3,258 3,258 3,258 3,258 3,258 39,101
Insurance 4,888 4,888 4,888 4,888 4,888 4,888 4,888 4,888 4,888 4,888 4,888 4,888 58,651
Electricity 13,034 13,034 13,034 13,034 13,034 13,034 13,034 13,034 13,034 13,034 13,034 13,034 1,56,403
Telephone 3,258 3,258 3,258 3,258 3,258 3,258 3,258 3,258 3,258 3,258 3,258 3,258 39,101
&Internet
Transportation 4,888 4,888 4,888 4,888 4,888 4,888 4,888 4,888 4,888 4,888 4,888 3,202 56,966
Office expenses 3,258 3,258 3,258 3,258 3,258 3,258 3,258 3,258 3,258 3,258 3,258 3,258 39,101
Advertisement 3,258 3,258 3,258 3,258 3,258 3,258 3,258 3,258 3,258 3,258 3,258 3,258 39,101
expenses
Office rent 32,584 32,584 32,584 32,584 32,584 32,584 32,584 32,584 32,584 32,584 32,584 32,584 3,91,007

25
Fixed expenses of Laundromat for all five years are shown in the table. Every year (2nd, 3rd, 4th and 5th) there will be 10%, 12%, 14% and 16%
increased in fixed cost respectively.

Wages for 1st and 2nd year

Number of Allowances
Employees Wages Total Wages Wage per month
Employees @3%
Director 1 63,000 63,000 1,890 64,890
Chief Operating Officer 1 54,000 54,000 1,620 55,620
General Manger 1 45,000 45,000 1,350 46,350
Division Manager 4 36,000 1,44,000 4,320 1,48,320
Financial Accountant 3 27,000 81,000 2,430 83,430
Executive Operations 8 27,000 2,16,000 6,480 2,22,480
Marketing Executives 4 27,000 1,08,000 3,240 1,11,240
HR Executives 3 27,000 81,000 2,430 83,430
Office Attenders 2 10,800 21,600 648 22,248
Security Guard 1 9,000 9,000 270 9,270
House Keeping Staffs 1 5,400 5,400 162 5,562
TOTAL 29 3,31,200 8,28,000 24,840 8,52,840

26
 Calculation of
wages
Months 1 2 3 4 5 6 7 8 9 10 11 12
Total Wages 8,52,840 8,52,840 8,52,840 8,52,840 8,52,840 8,52,840 8,52,840 8,52,840 8,52,840 8,52,840 8,52,84 8,52,840
0
Total
Monthly
8,52,840 8,52,840 8,52,840 8,52,840 8,52,840 8,52,840 8,52,840 8,52,840 8,52,840 8,52,840 8,52,84 8,52,840
wages 0
expenses
Total wages for 1,02,34,080
a year

Wages for Bridal House employees in a month with 3% allowance is as shown in the above table. Total wages incurred for Bridal House
employees in their first &second year operation is Rs 1,02,34,080.

Wages for 3rd and 4th year

Number of Allowances
Employees Wages Total Wages Wage per month
Employees @3%
Director 1 69300 69300 2079 71379
Chief Operating Officer 1 59400 59400 1782 61182
General Manger 1 49500 49500 1485 50985
Division Manager 4 39600 158400 4752 163152
Financial Accountant 3 29700 89100 2673 91773
Executive Operations 8 29700 237600 7128 244728
Marketing Executives 4 29700 118800 3564 122364
HR Executives 3 29700 89100 2673 91773

27
 Office Attenders 2 11880 23760 713 24473
Security Guard 1 9900 9900 297 10197
House Keeping Staffs 1 5940 5940 178 6118
TOTAL 29 3,64,320 9,10,800 27,324 9,38,124

Calculation of wages
Months 1 2 3 4 5 6 7 8 9 10 11 12
Total Wages 938124 938124 938124 938124 938124 938124 938124 938124 938124 938124 938124 938124
Total Monthly
938124 938124 938124 938124 938124 938124 938124 938124 938124 938124 938124 938124
wages
expenses
Total wages for a 1,12,57,488
year

Wages for Bridal House employees with 3% allowance & 10% increment in salaries than previous 2 years which is as shown in the above table.
Total wages incurred for Bridal House in their 3rd & 4th year operation is Rs 1,12,57,488.

28
 Wages for 5th year
Employees Number of Employees Wages Total Wages Allowances Wage Per
@3% Month
Director 1 83160 83160 2494.8 85654.8
Chief Operating Officer 1 71,280 71280 2,138 73,418
General Manger 1 59,400 59400 1,782 61182
Division Manager 4 47,520 190080 5,702 195782.4
Financial Accountant 3 35,640 106920 3,208 110127.6
Executive Operations 8 35,640 285120 8,554 293673.6
Marketing Executives 4 35,640 142560 4,277 146836.8
HR Executives 3 35,640 106920 3,208 110127.6
Office Attenders 2 14,256 28512 855 29367.36
Security Guards 1 11,880 11880 356 12236.4
House Keeping Staffs 1 7,128 7128 214 7341.84
TOTAL 29 4,37,184 10,92,960 32788.8 11,25,749

Calculation of wages
Months 1 2 3 4 5 6 7 8 9 10 11 12
Total Wages 11,25,749 11,25,749 11,25,749 11,25,749 11,25,749 11,25,749 11,25,749 11,25,749 11,25,749 11,25,749 11,25,749 11,25,749
Total Monthly 11,25,749 11,25,749 11,25,749 11,25,749 11,25,749 11,25,749 11,25,749 11,25,749 11,25,749 11,25,749 11,25,749 11,25,749
wages expenses
Total wages 1,35,08,988
for a year

29
 Wages for Bridal House employees with 3% allowance & 20 % increment in salaries than previous years which is as shown in the above table.
Totalwages incurred for Bridal House in their 3rd & 4th year operation is Rs 1,35,08,988.

Variable Cost

Variable Cost for 1st Year

Cost per
Variable
Unit Units Month
Components
Cost
Cosmetic 10000 5 50,000
products
Embroidery 500 5 2,500
materials
Stitching 100 5 500
materials

Total 53,000

Months 1 2 3 4 5 6 7 8 9 10 11 12
Actual Cost of 53,000 53,000 53,000 53,000 53,000 53,000 53,000 53,000 53,000 53,000 53,000 53,000
production
Total Cost 53,000 53,000 53,000 53,000 53,000 53,000 53,000 53,000 53,000 53,000 53,000 53,000
Annual Cost 6,36,000

30
 Variable Cost for 2nd Year
Variable 10% Unit Cost
Components increase (2nd Year )
Unit in Units Cost per
Cost(1st Variable month
Year) Expense
Cosmetic 10000 1000 11,000 8 88000
products
Embroidery 500 50 550 8 4400
materials
Stitching 100 10 110 8 880
materials
Total 93280

Months 1 2 3 4 5 6 7 8 9 10 11 12
Actual Cost of 93,280 93,280 93,280 93,280 93,280 93,280 93,280 93,280 93,280 93,280 93,280 93,280
production
Total Cost 93,280 93,280 93,280 93,280 93,280 93,280 93,280 93,280 93,280 93,280 93,280 93,280
Annual Cost 11,19,360

31
 Variable Cost for 3rd Year
Variable 10% Unit Cost
Components Unit increase (3rd Year ) Units Cost per
Cost(2nd in month
Year) Variable
Expense
Cosmetic 11000 1100 12100 10 121000
products
Embroidery 550 55 605 10 6050
materials
Stitching 110 11 121 10 1210
materials
Total 128260

Months 1 2 3 4 5 6 7 8 9 10 11 12
Actual Cost of 1,28,260 1,28,260 1,28,260 1,28,260 1,28,260 1,28,260 1,28,260 1,28,260 1,28,260 1,28,260 1,28,260 1,28,260
production
Total Cost 1,28,260 1,28,260 1,28,260 1,28,260 1,28,260 1,28,260 1,28,260 1,28,260 1,28,260 1,28,260 1,28,260 1,28,260
Annual Cost 15,39,120

32
 Variable cost for 4th
year
10%
Variable increase in
Components Unit Cost(3rd Variable Unit Cost Cost per
Expense Units
Year) (4th Year ) month
Cosmetic
12,100 1210 13,310 13 173030
products
Embroidery
605 60.5 666 13 8651.5
materials
Stitching
121 12.1 133 13 1730.3
materials
Total 183411.8

Months 1 2 3 4 5 6 7 8 9 10 11 12
Actual 1,83,412 1,83,412 1,83,412 1,83,412 1,83,412 1,83,412 1,83,412 1,83,412 1,83,412 1,83,412 1,83,412 1,83,412
Cost of
production
Total Cost 1,83,412 1,83,412 1,83,412 1,83,412 1,83,412 1,83,412 1,83,412 1,83,412 1,83,412 1,83,412 1,83,412 1,83,412
Annual 22,00,944
Cost

33
 Variable Cost for
5th Year
10%
Variable increase in
Components Unit Cost(4th Variable Unit Cost Cost per
Expense Units
Year) (5th Year ) month
Cosmetic
13,310 1331 14,641 17 248897
products
Embroidery
666 66.55 732 17 12444.85
materials
Stitching
133 13.31 146 17 2488.97
materials
Total 263830.82

Months 1 2 3 4 5 6 7 8 9 10 11 12
Actual Cost 2,63,831 2,63,831 2,63,831 2,63,831 2,63,831 2,63,831 2,63,831 2,63,831 2,63,831 2,63,831 2,63,831 2,63,831
of
production
Total Cost 2,63,831 2,63,831 2,63,831 2,63,831 2,63,831 2,63,831 2,63,831 2,63,831 2,63,831 2,63,831 2,63,831 2,63,831
Annual 31,65,972
Cost

These are the expenses that change depending on the production. Production has direct Impact on the breakeven point. Changes in the cost
can increase the production or decrease the production. In service industry the cost of materials have major impact because the rate of
material changes this can affect the production. Every year there will be increase in 10% of variable cost and every annual cost for variable
experience is recordedfrom the above table

34
 Depreciation

Depreciation for 5 years

Fixed Asset Qty Value Total Value Useful Depreciatio Year 1 Year 2 Year 3 Year 4 Year 5 Depriciation Residual
Life(year) n rate Amount value

Computer 10 40000 400000 5 0.4 160000 96000 57600 34560 20736 368896 31104

Office 5 100000 500000 5 0.1 50000 45000 40500 36450 32805 204755 295245
Infrastructure
Annual 210000 141000 98100 71010 53541 326349
Depreciation
Monthly 17500 11750 8175 5917.5 4461.75
Depreciation

Bridal House uses straight line method to calculate depreciation. Fixed assets are computers, office infrastructure overall.
All these assets Depreciations are calculated for 5 years. Annual depreciations and monthly depreciation is calculated as
noted from the above table.

35
CHAPTER 8

SUMMARY OF FINANCIALS

Revenue Sales Inventory

Revenue for 1st Year

UNIT OF ORDERS
per
Month order 1 2 3 4 5 6 7 8 9 10 11 12
Assumption of
revenue
MAKE UP 35000
STICHING 2500
EMBROIDERY 15000
order per month 15 16 17 18 19 20 19 18 17 20 19 19
Revenue 52500 787500 840000 892500 945000 997500 1050000 997500 945000 892500 1050000 997500 997500
Total turnover 11392500

at 9.5% 1 2 3 4 5
demand
estimation
of bridal service 52500
incremental 4987.5 4987.5 4987.5 4987.5
total 52500 57487.5 62475 67462.5 72450

36
Revenue for 2nd Year

UNIT OF ORDERS
per
Month order 1 2 3 4 5 6 7 8 9 10 11 12
Asumption of
revenue
MAKE UP 38325
STICHING 2737.5
EMBROIDERY 16425
order per month 19 18 17 16 15 19 18 17 20 19 21 22
Revenue 57487.5 1092263 1034775 977287.5 919800 862312.5 1092262.5 1034775 977287.5 1149750 1092263 1207238 1264725
Total turnover 12704738

Revenue for 3rd Year

UNIT OF ORDERS
per
Month 1 2 3 4 5 6 7 8 9 10 11 12
order
Assumption of
revenue
MAKE UP 41650
STICHING 2975
EMBROIDERY 17850
order per month 20 21 22 19 18 19 19 20 21 22 22 23
Revenue 62475 1249500 1311975 1374450 1187025 1124550 1187025 1187025 1249500 1311975 1374450 1374450 1436925
Total turnover 15368850

37
Revenue for 4th Year

UNIT OF ORDERS
per
Month order 1 2 3 4 5 6 7 8 9 10 11 12
Asumption of
revenue
MAKE UP 44975
STICHING 3212.5
EMBROIDERY 19275
order per month 24 25 24 21 22 23 21 23 21 23 24 26
Revenue 67462.5 1619100 1686563 1619100 1416713 1484175 1551637.5 1416712.5 1551638 1416713 1551638 1619100 1754025
Total turnover 18687113

Revenue for 5th Year

UNIT OF ORDERS
per
Month oreder 1 2 3 4 5 6 7 8 9 10 11 12
Asumption of
revenue
MAKE UP 48300
STICHING 3450
EMBROIDERY 20700
order per month 24 26 25 22 23 23 22 24 22 25 26 28
Revenue 72450 1738800 1883700 1811250 1593900 1666350 1666350 1593900 1738800 1593900 1811250 1883700 2028600
Total turnover 21010500

From the above tables for all the 5 years it depicts Bridal House per order in a month, there will be 9.5% of increment every year in the per
order according to the bridal service industry. Finally total turnover of the revenue is calculated by assuming the no. of orders in a month

38
 for all 5 years in terms of annually is tabulated as shown in all the above 5 tables.

EBIT

EBIT 1st Year 1 2 3 4 5 6 7 8 9 10 11 12 TOTAL

Revenue 7,87,500 8,40,000 8,92,500 9,45,000 9,97,500 10,50,000 9,97,500 9,45,000 8,92,500 10,50,000 9,97,500 9,97,500 1,13,92,500
53,000 53,000 53,000 53,000 53,000 53,000 53,000 53,000 53,000 53,000 53,000 53,000
Cost of Goods Sold 6,36,000
Gross Profit 7,34,500 7,87,000 8,39,500 8,92,000 9,44,500 9,97,000 9,44,500 8,92,000 8,39,500 9,97,000 9,44,500 9,44,500 1,07,56,500
-
Operating Expense -
8,52,840 8,52,840 8,52,840 8,52,840 8,52,840 8,52,840 8,52,840 8,52,840 8,52,840 8,52,840 8,52,840 8,52,840 1,02,34,080
Employee salary
Maintenance 2,000 2,000 2,000 2,000 2,000 2,000 2,000 2,000 2,000 2,000 2,000 2,000 24,000
Insurance 3,000 3,000 3,000 3,000 3,000 3,000 3,000 3,000 3,000 3,000 3,000 3,000 36,000
Electricity 8000 8000 8000 8000 8000 8000 8000 8000 8000 8000 8000 8000 96,000
Telephone
&Internet 2,000 2,000 2,000 2,000 2,000 2,000 2,000 2,000 2,000 2,000 2,000 2,000
24,000
Transportation 3,000 3,000 3,000 3,000 3,000 3,000 3,000 3,000 3,000 3,000 3,000 3,000 36,000
Office expenses 2,000 2,000 2,000 2,000 2,000 2,000 2,000 2,000 2,000 2,000 2,000 2,000 24,000
Advertisement
expenses 2,000 2,000 2,000 2,000 2,000 2,000 2,000 2,000 2,000 2,000 2,000 2,000
24,000
Office rent 20,000 20,000 20,000 20,000 20,000 20,000 20,000 20,000 20,000 20,000 20,000 20,000 2,40,000
total operatig
expenses
8,94,840 8,94,840 8,94,840 8,94,840 8,94,840 8,94,840 8,94,840 8,94,840 8,94,840 8,94,840 8,94,840 8,94,840 1,07,38,080
EBIT -1,60,340 -1,07,840 -55,340 -2,840 49,660 1,02,160 49,660 -2,840 -55,340 1,02,160 49,660 49,660 18,420

39
EBIT 2nd Year 1 2 3 4 5 6 7 8 9 10 11 12 TOTAL

Revenue 10,92,263 10,34,775 9,77,288 9,19,800 8,62,313 10,92,263 10,34,775 9,77,288 11,49,750 10,92,263 12,07,238 12,64,725 1,27,04,738
Cost of Goods
Sold 93,280 93,280 93,280 93,280 93,280 93,280 93,280 93,280 93,280 93,280 93,280 93,280 11,19,360
Gross Profit 9,98,983 9,41,495 8,84,008 8,26,520 7,69,033 9,98,983 9,41,495 8,84,008 10,56,470 9,98,983 11,13,958 11,71,445 1,15,85,378

Operating
Expense
Employee 8,52,840 8,52,840 8,52,840 8,52,840 8,52,840 8,52,840 8,52,840 8,52,840 8,52,840 8,52,840 8,52,840 8,52,840
1,02,34,080
salary
Maintenance 2,200 2,200 2,200 2,200 2,200 2,200 2,200 2,200 2,200 2,200 2,200 2,200 26,400
Insurance 3,300 3,300 3,300 3,300 3,300 3,300 3,300 3,300 3,300 3,300 3,300 3,300 39,600
Electricity 8,800 8,800 8,800 8,800 8,800 8,800 8,800 8,800 8,800 8,800 8,800 8,800 1,05,600
Telephone
&Internet 2,200 2,200 2,200 2,200 2,200 2,200 2,200 2,200 2,200 2,200 2,200 2,200 26,400

Transportation 3,300 3,300 3,300 3,300 3,300 3,300 3,300 3,300 3,300 3,300 3,300 3,300 39,600
Office expenses 2,200 2,200 2,200 2,200 2,200 2,200 2,200 2,200 2,200 2,200 2,200 2,200 26,400
Advertisement
expenses 2,200 2,200 2,200 2,200 2,200 2,200 2,200 2,200 2,200 2,200 2,200 2,200 26,400

Office rent 22,000 22,000 22,000 22,000 22,000 22,000 22,000 22,000 22,000 22,000 22,000 22,000 2,64,000
total operatig
expenses
8,99,040 8,99,040 8,99,040 8,99,040 8,99,040 8,99,040 8,99,040 8,99,040 8,99,040 8,99,040 8,99,040 8,99,040 1,07,88,480
EBIT -
99,943 42,455 -15,033 -72,520 1,30,008 99,943 42,455 -15,033 1,57,430 99,943 2,14,918 2,72,405 7,96,898

40
EBIT 3rd Year TOTAL
1 2 3 4 5 6 7 8 9 10 11 12
Revenue
12,49,500 13,11,975 13,74,450 11,87,025 11,24,550 11,87,025 11,87,025 12,49,500 13,11,975 13,74,450 13,74,450 14,36,925 1,53,68,850
Cost of Goods
1,28,260 1,28,260 1,28,260 1,28,260 1,28,260 1,28,260 1,28,260 1,28,260 1,28,260 1,28,260 1,28,260 1,28,260
Sold 15,39,120
Gross Profit
11,21,240 11,83,715 12,46,190 10,58,765 9,96,290 10,58,765 10,58,765 11,21,240 11,83,715 12,46,190 12,46,190 13,08,665 1,38,29,730

Operating
Expense
Employee
938124 938124 938124 938124 938124 938124 938124 938124 938124 938124 938124 938124
salary 1,12,57,488
Maintenance 2,464 2,464 2,464 2,464 2,464 2,464 2,464 2,464 2,464 2,464 2,464 2,464
29,568
Insurance 3,696 3,696 3,696 3,696 3,696 3,696 3,696 3,696 3,696 3,696 3,696 3,696
44,352
Electricity 9,856 9,856 9,856 9,856 9,856 9,856 9,856 9,856 9,856 9,856 9,856 9,856
1,18,272
Telephone
2,464 2,464 2,464 2,464 2,464 2,464 2,464 2,464 2,464 2,464 2,464 2,464
&Internet 29,568
Transportation 3,696 3,696 3,696 3,696 3,696 3,696 3,696 3,696 3,696 3,696 3,696 3,696
44,352
Office expenses 2,464 2,464 2,464 2,464 2,464 2,464 2,464 2,464 2,464 2,464 2,464 2,464
29,568
Advertisement
2,464 2,464 2,464 2,464 2,464 2,464 2,464 2,464 2,464 2,464 2,464 2,464
expenses 29,568
Office rent 24,640 24,640 24,640 24,640 24,640 24,640 24,640 24,640 24,640 24,640 24,640 24,640
2,95,680
total operatig
expenses 9,89,868 9,89,868 9,89,868 9,89,868 9,89,868 9,89,868 9,89,868 9,89,868 9,89,868 9,89,868 9,89,868 9,89,868 1,18,78,416
EBIT
1,31,372 1,93,847 2,56,322 68,897 6,422 68,897 68,897 1,31,372 1,93,847 2,56,322 2,56,322 3,18,797 19,51,314

41
EBIT 4th Year 1 2 3 4 5 6 7 8 9 10 11 12 TOTAL

Revenue 16,19,100 16,86,563 16,19,100 14,16,713 14,84,175 15,51,638 14,16,713 15,51,638 14,16,713 15,51,638 16,19,100 17,54,025 1,86,87,113
Cost of Goods 1,83,412 1,83,412 1,83,412 1,83,412 1,83,412 1,83,412 1,83,412 1,83,412 1,83,412 1,83,412 1,83,412 1,83,412
Sold 22,00,944

Gross Profit 14,35,688 15,03,151 14,35,688 12,33,301 13,00,763 13,68,226 12,33,301 13,68,226 12,33,301 13,68,226 14,35,688 15,70,613 1,64,86,169

Operating
Expense
Employee 11,25,749 11,25,749 11,25,749 11,25,749 11,25,749 11,25,749 11,25,749 11,25,749 11,25,749 11,25,749 11,25,749 11,25,749
salary 1,35,08,988
Maintenance 2,809 2,809 2,809 2,809 2,809 2,809 2,809 2,809 2,809 2,809 2,809 2,809
33,708
Insurance 4,213 4,213 4,213 4,213 4,213 4,213 4,213 4,213 4,213 4,213 4,213 4,213
50,561
Electricity 11,236 11,236 11,236 11,236 11,236 11,236 11,236 11,236 11,236 11,236 11,236 11,236
1,34,830
Telephone 2,809 2,809 2,809 2,809 2,809 2,809 2,809 2,809 2,809 2,809 2,809 2,809
&Internet 33,708
Transportation 4,213 4,213 4,213 4,213 4,213 4,213 4,213 4,213 4,213 4,213 4,213 4,213
50,561
Office expenses 2,809 2,809 2,809 2,809 2,809 2,809 2,809 2,809 2,809 2,809 2,809 2,809
33,708
Advertisement 2,809 2,809 2,809 2,809 2,809 2,809 2,809 2,809 2,809 2,809 2,809 2,809
expenses 33,708
Office rent 28,090 28,090 28,090 28,090 28,090 28,090 28,090 28,090 28,090 28,090 28,090 28,090
3,37,080
total operatig
expenses 11,84,737 11,84,738 11,84,738 11,84,738 11,84,738 11,84,738 11,84,738 11,84,738 11,84,738 11,84,738 11,84,738 11,84,738 1,42,16,850
EBIT
2,50,951 3,18,413 2,50,950 48,563 1,16,025 1,83,488 48,563 1,83,488 48,563 1,83,488 2,50,950 3,85,875 22,69,318

42
EBIT 5th
TOTAL
Year 1 2 3 4 5 6 7 8 9 10 11 12

Revenue 18,83,700 20,28,600

17,38,800 18,11,250 15,93,900 16,66,350 16,66,350 15,93,900 17,38,800 15,93,900 18,11,250 18,83,700 2,10,10,500
Cost of
2,63,831 2,63,831 2,63,831 2,63,831 2,63,831 2,63,831 2,63,831 2,63,831 2,63,831 2,63,831 2,63,831 2,63,831
Goods Sold 31,65,972

Gross Profit 16,19,869 17,64,769

14,74,969 15,47,419 13,30,069 14,02,519 14,02,519 13,30,069 14,74,969 13,30,069 15,47,419 16,19,869 1,78,44,528

Operating
Expense
Employee
938124 938124 938124 938124 938124 938124 938124 938124 938124 938124 938124 938124
salary 1,12,57,488
Maintenanc
3258.3936 3258.3936 3258.3936 3258.3936 3258.3936 3258.3936 3258.3936 3258.3936 3258.3936 3258.3936 3258.3936 3258.3936
e 39,101

Insurance 4887.5904 4887.5904 4887.5904 4887.5904 4887.5904 4887.5904 4887.5904 4887.5904 4887.5904 4887.5904 4887.5904 4887.5904
58,651
13033.574
Electricity 13033.5744 13033.5744 13033.5744 13033.5744 13033.5744 13033.5744 13033.5744 13033.5744 13033.5744 13033.5744 13033.5744
4 1,56,403
Telephone 3258.3936 3258.3936 3258.3936 3258.3936 3258.3936 3258.3936 3258.3936 3258.3936 3258.3936 3258.3936 3258.3936 3258.3936
&Internet 39,101
Transportati
4887.5904 4887.5904 4887.5904 4887.5904 4887.5904 4887.5904 4887.5904 4887.5904 4887.5904 4887.5904 4887.5904 4887.5904
on 58,651
Office
3258.3936 3258.3936 3258.3936 3258.3936 3258.3936 3258.3936 3258.3936 3258.3936 3258.3936 3258.3936 3258.3936 3258.3936
expenses 39,101
Advertiseme 3258.3936 3258.3936 3258.3936 3258.3936 3258.3936 3258.3936 3258.3936 3258.3936 3258.3936 3258.3936 3258.3936 3258.3936
nt expenses 39,101
Office rent 32583.936 32584.4 32584.4 32584.4 32584.4 32584.4 32584.4 32584.4 32584.4 32584.4 32584.4 32584.4
3,91,012
total
operatig 10,06,550 10,06,551 10,06,551 10,06,551 10,06,551 10,06,551 10,06,551 10,06,551 10,06,551 10,06,551 10,06,551 10,06,551
1,20,78,608
expenses
EBIT 4,68,419 6,13,318 5,40,868 3,23,518 3,95,968
3,95,968
3,23,518 4,68,418 3,23,518 5,40,868 6,13,318 7,58,218
57,65,920

43
COST OF PROJECT AND MEANS OF FINANCE:

COST OF
PROJECT MEANS OF FINANCE
Fixed assets 9,00,000 Own Fund 9,00,000
Current assets 5,00,000 Debt 8,00,000
Other initial expense 3,00,000 Total 17,00,000
Total 17,00,000

List of Fixed Assets 0wn fund

Computer 4,00,000 preliminary expenses 60,000
Office Infrastructure 5,00,000 Pre Operative Expenses 2,40,000
Total 9,00,000 cash 5,00,000
Computer 1,00,000
total 9,00,000

List of current assets

CASH 5,00,000

Total 5,00,000

Other Expenses
Preliminary expenses 60,000
Pre Operative
2,40,000
Expenses
Total 3,00,000

44
 EMI INTEREST:

Interest for
1st year 0 1 2 3 4 5 6 7 8 9 10 11 12 TOTAL
Opening
balance 8,00,000 8,00,000 7,89,393 7,78,707 7,67,941 7,57,094 7,46,165 7,35,155 7,24,062 7,12,885 7,01,625 6,90,281 6,78,851
Interest
rate per
month 0.0075 0.0075 0.0075 0.0075 0.0075 0.0075 0.0075 0.0075 0.0075 0.0075 0.0075 0.0075 0.0075
Interest
amount 6,000 5,920 5,840 5,760 5,678 5,596 5,514 5,430 5,347 5,262 5,177 5,091 66,616
Principle
amount 10,607 10,686 10,766 10,847 10,928 11,010 11,093 11,176 11,260 11,344 11,430 11,515 1,32,664
Closing
balance 8,00,000 7,89,393 7,78,707 7,67,941 7,57,094 7,46,165 7,35,155 7,24,062 7,12,885 7,01,625 6,90,281 6,78,851 6,67,336

EMI 16,607 16,607 16,607 16,607 16,607 16,607 16,607 16,607 16,607 16,607 16,607 16,607 16,607 1,99,280

45
Interest for 2nd year 1 2 3 4 5 6 7 8 9 10 11 12

Opening balance 6,67,336 6,55,734 6,44,046 6,32,269 6,20,405 6,08,451 5,96,408 5,84,274 5,72,049 5,59,733 5,47,324 5,34,823
Interest rate per
month 0.00750 0.00750 0.00750 0.00750 0.00750 0.00750 0.00750 0.00750 0.00750 0.00750 0.00750 0.00750

Interest amount 5,005 4,918 4,830 4,742 4,653 4,563 4,473 4,382 4,290 4,198 4,105 4,011 54,171

Principle amount 11,602 11,689 11,776 11,865 11,954 12,043 12,134 12,225 12,316 12,409 12,502 12,596 1,45,109

Closing balance 6,55,734 6,44,046 6,32,269 6,20,405 6,08,451 5,96,408 5,84,274 5,72,049 5,59,733 5,47,324 5,34,823 5,22,227

EMI 16,607 16,607 16,607 16,607 16,607 16,607 16,607 16,607 16,607 16,607 16,607 16,607 1,99,280

Interest for 3rd year 1 2 3 4 5 6 7 8 9 10 11 12

Opening balance 5,22,227 5,09,537 4,96,752 4,83,871 4,70,893 4,57,818 4,44,645 4,31,373 4,18,002 4,04,530 3,90,958 3,77,283
Interest rate per
month 0.00750 0.00750 0.00750 0.00750 0.00750 0.00750 0.00750 0.00750 0.00750 0.00750 0.00750 0.00750

Interest amount 3,917 3,822 3,726 3,629 3,532 3,434 3,335 3,235 3,135 3,034 2,932 2,830 40,559

Principle amount 12,690 12,785 12,881 12,978 13,075 13,173 13,272 13,371 13,472 13,573 13,675 13,777 1,58,721

Closing balance 5,09,537 4,96,752 4,83,871 4,70,893 4,57,818 4,44,645 4,31,373 4,18,002 4,04,530 3,90,958 3,77,283 3,63,506

EMI 16,607 16,607 16,607 16,607 16,607 16,607 16,607 16,607 16,607 16,607 16,607 16,607

46
 Interest for 4th year 1 2 3 4 5 6 7 8 9 10 11 12

Opening balance 363506 349626 335641 321552 307357 293055 278647 264130 249504 234769 219923 204965
Interest rate per
month 0.00750 0.00750 0.00750 0.00750 0.00750 0.00750 0.00750 0.00750 0.00750 0.00750 0.00750 0.00750

Interest amount 2726 2622 2517 2412 2305 2198 2090 1981 1871 1761 1649 1537 25670

Principle amount 13880 13984 14089 14195 14302 14409 14517 14626 14735 14846 14957 15069 173610

Closing balance 349626 335641 321552 307357 293055 278647 264130 249504 234769 219923 204965 189896

EMI 16607 16607 16607 16607 16607 16607 16607 16607 16607 16607 16607 16607 199280

Interest for 5th year 1 2 3 4 5 6 7 8 9 10 11 12

Opening balance 1,89,896 1,74,714 1,59,417 1,44,006 1,28,479 1,12,836 97,076 81,197 65,200 49,082 32,843 16,483
Interest rate per
month 0.00750 0.00750 0.00750 0.00750 0.00750 0.00750 0.00750 0.00750 0.00750 0.00750 0.00750 0.00750

Interest amount 1,424 1,310 1,196 1,080 964 846 728 609 489 368 246 124 9,384

Principle amount 15,182 15,296 15,411 15,527 15,643 15,760 15,879 15,998 16,118 16,239 16,360 16,483 1,89,896

Closing balance 1,74,714 1,59,417 1,44,006 1,28,479 1,12,836 97,076 81,197 65,200 49,082 32,843 16,483 0

EMI 16,607 16,607 16,607 16,607 16,607 16,607 16,607 16,607 16,607 16,607 16,607 16,607 1,99,280

47
NPV IRR:

YEAR 0 1 2 3 4 5
Initial Cash flow 17,00,000

Operating Cash Flow

Revenue 1,13,92,500 1,27,04,738 1,53,68,850 1,86,87,113 2,10,10,500
Variable Expenses 6,36,000 11,19,360 15,39,120 22,00,944 31,65,972
Other Expenses(ecxcl
1,07,38,080 1,07,88,480 1,18,78,416 1,42,16,850 1,20,78,608
Interest& Depreciation)
EBDIT 18,420 7,96,898 19,51,314 22,69,318 57,65,920
Depreciation 210000 141000 98100 71010 53541
EBIT -1,91,580 6,55,898 18,53,214 21,98,308 57,12,379
Interest 66,616 54,171 40,559 25,670 9,384
EBT -2,58,196 6,01,726 18,12,655 21,72,638 57,02,994
tax 12% -30,983.54 72,207.13 2,17,518.58 2,60,716.57 6,84,359.34
EAT -2,27,213 5,29,519 15,95,136 19,11,922 50,18,635

Terminal Cash Flow

Net Salvage Value 3,26,349
Net Cash Flow -17,00,000 -17,213 6,70,519 16,93,236 19,82,932 53,98,525
NPV -14,968 5,83,060 14,72,379 17,24,288 46,94,370
IRR 56.42%

48
IRR CALCULATION:

Year CF PVIF @56% PVCF

0 -17,00,000
1 -17,213 0.641 -11,033.31
2 6,70,519 0.4109 2,75,516.25
3 16,93,236 0.2634 4,45,998.43
4 19,82,932 0.1688 3,34,718.85
5 53,98,525 0.10823 5,84,282.38
16,29,482.59

Year CF PVIF @57% PVCF

0 -17,00,000
1 -17,213 0.6369 -10,962.74
2 6,70,519 0.4056 2,71,962.50
3 16,93,236 0.2584 4,37,532.24
4 19,82,932 0.1645 3,26,192.24
5 53,98,525 0.1048 5,65,765.44
15,90,489.68

IRR 56.42%

49
PAY BACK PERIOD:

Pay Back Period (PBP)

Year Discount Factor @ Discounted Cash Cumulative

15% flow Discounted Cash flow

0 1.0000 -17,00,000
0.8696 -14968
1 -14968
0.7561 507009
2 492041
0.6575 1113330
3 1605371
0.5718 1133748
4 2739119
0.4972 2684021
5 5423140

Year months
PBP
3 0.94

50
CHAPTER 9

CONCLUSION:

In conclusion, the bridal services industry is a thriving and dynamic sector with immense
potential for growth and profitability. The industry benefits from factors such as increasing
disposable incomes, changing social norms, and the desire for personalized wedding
experiences. Bridal service providers have the opportunity to capitalize on key trends such as
customization, technology integration, sustainability, destination weddings, and inclusivity.
To succeed in this competitive market, businesses should focus on differentiating themselves
through unique service offerings, exceptional customer service, and effective marketing
strategies. Embracing technology and digital platforms can enhance customer reach and
convenience, while sustainability practices and ethical sourcing can appeal to the growing
demand for eco-conscious weddings. Additionally, catering to diverse cultures, genders, and
orientations through inclusive services can help businesses tap into a broader customer base.

By understanding and meeting the evolving needs of brides and grooms, bridal service
providers can establish themselves as trusted partners in creating unforgettable wedding
experiences. With a strategic approach, a commitment to quality, and a customer-centric
mindset, businesses in the bridal services industry can thrive and achieve long-term success.

51
REFRENCES:

 https://timesofindia.indiatimes.com/india/catering-culture-in-indian-
weddings-is-reflection-of-rich-heritage-braj-
lata/articleshow/98125410.cms?from=mdr#:~:text=The%20Indian%
20wedding%20industry%20is,reach%20new%20heights%20in%202
023.
 https://www.5paisa.com/blog/indian-weddings-a-billion-dollar-
opportunity

52
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