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FLOW OF PRESENTATION
ƕ MISSION

ƕ BUSINESS CONCEPT
ƕ GOALS AND OBJECTIVES

ƕ THE TEAM

ƕ MARKET RESEARCH & ANALYSIS

ƕ ELEMENTS OF MARKETING PLAN

ƕ TECHNIAL ANALYSIS

ƕ FINANCIAL SUMMARY
ƕ BREAK EVEN ANALYSIS

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Mission Statement
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 is a health service that helps businesses and
individual workers attain one of the greatest gifts of all--
that of good health. Personal gains, such as improved
self-esteem and self-motivation, combined with
measurable benefits will create tremendous advantages
for both the employer and the employee.

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Business Concept
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 will serve Ranchi area people and businesses, helping them to
become more productive, while lowering their overall costs.

Our business is based on two simple facts:

ƕ Healthy employees are more productive than chronically ill employees.

ƕ It costs less to prevent injuries or illnesses than to treat them after

they occur.

Atc
 , we tie worker productivity directly to the health care issue.

We believe that traditional approaches to the current health care crisis
are misdirected. These traditional efforts are what we call reactive--
that is, they wait until after the worker has been stricken with illness or
injury, and then pay for the necessary treatments. Our approach,
which emphasizes prevention and good health promotion, is much
more proactive.

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Goals and Objectives
ƕ Provide wellness strategies/programs to businesses and
people in Ranchi area.

ƕ Create working relation with 5 companies by end of

2007.
ƕ Expand c
 into Jharkhand by the end of 2009 and
other parts of India as well in the coming years.

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The Team
þ
  
 
 
      
     
  
   
        
 
   
        

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MARKET RESEARCH & ANALYSIS
ƕ SAMPLE SIZE - 220

ƕ TYPE OF DATA - Primary Data

ƕ SAMPLING TECHNIQUE - Random sampling

ƕ TARGET GROUP -

Ƌ Section A & B

Ƌ Male & Female

Ƌ Age Group 18 to 60 yrs

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Age

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Gross monthly salary

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Is physical exercise under
professional guidance beneficial ?

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Are willing to join a fitness centre ?

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According to you which is the best
way for maintaining fitness ?

AYUR Dieting
0% 0%

Yoga
42%

Gym
58%

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Time willing to spend on fitness (in a week)

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Amount of money willing to spend
on fitness centre ?

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According to you most efficient way
to remain fit?

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Time session preferred

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According to you which is most important
factor for selection of fitness centre

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Things top on your priority list

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Findings

ƕ Most of the respondents were students or young working

professional. Thus, a major portion of our potential customer is of
young age.

ƕ Most of the respondent were from middle income group and

willing to pay more than Rs. 1000 for any fitness centre.

ƕ Our survey shows that people consider health only after family.

ƕ Respondent strongly agreed to professional guidance for fitness.

ƕ People think it is more beneficial if exercise is done daily.

ƕ People prefer Gymnasium most followed by Yoga, Ayurvedic &

Aroma Therapy.

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 Elements of marketing Plan
ƕ Product and services

ƕ Pricing system

ƕ Competitors

ƕ Market Location

ƕ Opportunity

ƕ Promotional strategy

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Product, services and Pricing
ƕ There would be 3 sessions:
o Morning session (6:00 Ƌ 9:00 am)

o Afternoon session (10:00 Ƌ 3:00 pm)

o Evening session ( 4:00 Ƌ 8:00 pm)

ƕ There will 2 kind of customers

Ƌ Regular - Rs.1500 per month

Ƌ Corporate Ƌ Rs.1400 per month (Rs.700 will be paid by the

customer and Rs.700 will be paid by his company)

Ƌ Rs.1000 will charged as registration fee.

ƕ In first year we are expecting overall 97 customers.

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Competition
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 is not primarily a health club, as are the
majority of competitors. This organization is in the
business of health care cost management. The major
function is to work with individuals to implement
wellness strategies.

All the competitors have old equipment and they are

only interested in providing fitness solution but we will
provide whole health solution. Stress removing packages
to enhance their professional and family life.

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Market Location
c
 will be located at Ashok Nagar, Ranchi.
Upon expansion, offices will be moved to a different
locations.

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Technical Analysis
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1 Jogger 2 Rs. 15,000 30000

2 Stepper 2 Rs. 8,000 16000
3 Exceutive Bike 2 Rs. 22,000 42000
4 Cross Trainer 2 Rs. 40,000 80000
5 Rotary Machine 2 Rs. 18,000 36000
6 Fit Massager 2 Rs. 42,000 84000
7 Roller 2 Rs. 14,000 28000
8 Dumbles
a) 1kg 10 Rs. 20
b)2kg 10 Rs. 40
c)5kg 10 Rs. 100
d)10kg 1 Rs. 400 2000
9 Tummy Sit - up 2 Rs. 18,000 36000
10 Knee Sit-up 2 Rs. 16,000 32000
11 Multiple Bench 2 Rs. 8,000 16000
12 Lower/High Sit-up 2 Rs. 11,000 22000
13 Multi-gym (12 stations) 1 Rs. 1,30,000 130000

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Financial summary
¢
¢ h 
h¢

Partners' contribution 12,00,000

USES OF FUND:

Security for building 50,000

Machinery 4,76,000
Furniture & Fixtures 70,000

FIXED ASSETS:

Generator 35,000
Air conditioner 60,000
Computer & Printer 18,000
Music System 10,000
Water purifier 7,000 1,30,000
Company Registration fees 25,000
Cash at bank 4,25,000
Cash in hand 24,000
12,00,000
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  !  
 "   
  

A) Sales Realization 12 x 1,41,000 Rs. 16,92,000
B) Registration Fees 97x1000 Rs. 97,000
Rs. 17,89,000

C) Cost of production
1. POWER 16,000*12 Rs. 1,92,000
2. MISC EXP
Sanitation 8,000
Telephone 12,000
Laundary 12,000 Rs. 32,000
3. FUEL AND
LUBRICANT 2,000*12 Rs. 24,000
4. WAGES AND
SALARY 11200*12 Rs. 1,34,400
5.REPAIRS AND
MAINTENANCE 3,000*12 Rs. 36,000
6.
CONSUMABLES(JUICE) 2,000*12 Rs. 24,000
7. STATIONERY 500*12 Rs. 6,000
8. RENT 40,000*12 Rs. 4,80,000
9. DEPRECIATION
Machinery @ 10%
p.a Rs. 47,600
Fixed assets @ 15 %
p.a Rs. 19,500
Furniture and
fixtures @ 25 % p.a 17,500 Rs. 84,600
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Rs. 10,13,000
V# 
 
$

%&


1. Insurance Rs. 6,000
2. Advertising Rs. 60,000 Rs. 66,000

E) Gross profit before

interest and tax Rs. 7,10,000

F) Financial charges
1. Interest on capital
@ 5% p.a 60,000

G) Profit after interest 6,50,000

H) Preliminary expense written off( 12,00,000* 2.5/100*1/10) 3,000

I) Profit before tax 6,47,000

J) Provision for tax @ 35

% p.a 2,26,450
ADD: surcharge @
2.5% of tax 5,661 2,32,111

K) Profit after tax 4,14,889

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   ¢V'¢h (h)¢ 
*+¢h ,-
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 r  
 


 
 
1,30,000
CAPITAL 12,00,000 FIXED ASSETS 19,500 
(+) Int. on capital 60,000 (-) Dep. @ 15% p.a
12,60,000 4,76,000
(+) Net profit 4,14,889 MACHINERY 47,600 
16,74,889 (-) Dep. @ 10% p.a
(-) Drawings 7,61,600 
PROVISION FOR
TAXATION @ 35%
ON PROFIT 2,26,450 70,000
(+) Surcharge @
2.5% on provision FURNITURE &
for tax 5,661  FIXTURES 17,500 
(-) Dep. @ 25% p.a
50,000 
SECURITY FOR BUILDING
30,000 
PRELIMINARY EXPENSES
4,50,000 
CASH AT BANK
24,000 
CASH IN HAND
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 BREAK EVEN ANALYSIS
PARTICULARS
 



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97 units @ Rs.18,443 per unit 



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Consumables 24,000
Power 1,92,000
Fuel & Lubricant 24,000
Miscellaneous Expenses 32,000
Advertising 60,000 

 
Repairs and maintenance 36,000
Rent 4,80,000
Insurance 6,000
Provision for taxation 2,26,450
Depriciation 84,600
Interest on capital 60,000
Salaries & wages 1,34,400 

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Break Even points( in units) = Total fixed assets

Contribution

Contribution = Sales- Variable Costs

Thus, Break even point( in units) = Rs.10,27,450

Rs.(18,443-3,423)/unit

= Rs. 10,27,450

Rs. 15,020/Unit

= 68 units

Break even unit( in Rs.) = B.E.P( in units)* Sales/unit

= 68 units* RS. 18,443/unit

= Rs. 12,54,124

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