Everybody wants something new today.

Taste has defined new limits for what people are ready to spend on. We with Peros Sauce want to target people as our customer who are looking for a new taste. We provide Authenticity, traditional flavor of Kaachristraight from the roots of Indian Heritage.

The collection includes a range: Phiro Hot Sauce Phiro Mild Sauce It caters to the middle/upper middle class/high class. Peros Sauce intends to get into the gap where all the foreign sauces fail to attach the authentic Indian Taste.

(Kaachri)

Kachri is a wild variety of cucumbers. Fresh kachri resembles a brown yellow small melon. It grows wildly in the desert.

It is the real earth food growing wild. And becoming a protein rich vegetable. Kachri powder is used extensively in Rajasthani cuisine.

We embark on the journey to savour the essence of culture through the taste of an authentic-indian-sauce

Hot and mild sauces for every genre and class of India Stickiness of taste: Tangy & Sweet Everyday use & health benefits Part of recipes, chicken tenderizer etc. The taste of spice redefined.

An ignored segment
High demand segment

Though there is competition

Can get enough room to grow The segment cant die or get outdated (Indians love to eat) To target the most lucrative industry in Taste India + Savoury = Addiction

 Local Chutneys are

present in every house But very few have taken the initiative to make their own recipe public Even then the availability is limited to imports, the veritable taste of Indian cuisine is missing

 No specialised readymade sauce for Indian taste Limited penetration of available options because of high price The sauce doesnt only get used with food items it also acts as a tenderizer which is an added benefit

1 cold storage warehouse With basic warehousing facility Sales team under a distribution head We plan to sell through grocery stores, distributors

Promotional Strategy

We would keep organizing taste fairs at different locations Vibrant yet relishing food stalls as promotional strategy Host direct selling parties Blue ocean from within a Red Ocean Triple Health Benefits- a coolant, tonic & stimulant.

 www.Perosauce.com Advertisements on various food blogs and websites Social networking sites would be used such as Pagalguy Twitter Google ads Facebook

Peros Sauce

 Wall poster Advertisements in Malls Direct selling parties Mall events

Industry is expected to rise to Rs 100,000 cr (US$ 18.90 billion) by 2015 in the sector. The sector is expected to grow by 20 % and value addition to increase from 8% to 35 %by 2015. Distribution centres throughout the country involving private sector will rise There are 25, 367 registered food processing units in the country whose total invested capital is Rs 84,094 crore

Fruit & vegetable processing- increase from 2% to 25% of total production by 2025, The food processing sector is presently growing at an average rate of 13.5% per annum. Food processing industry is a potential source for driving the rural economy and Is of great importance to an agrarian economy

like India.

 Unique use offering for Powder the gap in Regular of kachri the market Differentiation may help to-cure minor skin Liberalization & change in the lice, manifestation, outlook and increaseprickly in buying heat, itching, earache, etc. power Direct selling and multibrand Introduce complementary store selling model and contrasting flavors

diseases like boils, bed sores,

Enhance the appearance of No specialised readymade sauce food for Indian taste

No stores : lower real estate Outsourcing production for first year: manufacturing unit and machines Low fixed cost Using multi brand stores brand equity to push our product and get visibility Direct selling model: decreased intermediary cost

Facebook for advertising: * custom expenditure * focussed advertising * data base formation

The manufacturing kitchen will be located in Faridabad The area required for manufacturing is 1600 sq ft The per sq ft rate in Faridabad is between Rs 50-Rs 55

It will have an additional section for basic warehousing of 400 sq ft for Samples Packaging machine Labelling

Apply for DIN (Director Identification Number) Documents Required: Identity and Address proof
and one passport size photo of the proposed directors.[information required about directors are Name, Father's Name, Date of Birth, Nationality, Present Residential address, Permanent Residential address]

Apply for Digital Signature Documents Required: Identity and address proof of the any one proposed director

Apply for the availability of the name (Suggest 3-4 name for the new company)

Drafting of Memorandum and Article of association

Pay Stamp Duty on Memorandum and Articles of Association (Now you can pay stamp duty online electronically also)

File the documents for Company Registration (Form 1, Form 18, Form 32, Power of attorney) Get the Registration Certificate through email and speed post.

Registration of the Company with the Registrar of Companies Sign Memorandum of Association Fees Rs 30,000. It takes 30-75 days special retail license needed for sale of sauces. Gift packs are required through multibrand stores with Indian direct selling association (IDSA)

No

Membership

Income tax Application for PAN and TIN Number which costs Rs 5,000. Can be applied online.

Loan license manufacturing No license needed for job and work basis. No direct excise duty as we are outsourcing. But the manufacture will charge it from us. The excise duty is 10.30 % for 2010-2011 Generator 45 KVA No license

Computers: 4 1 for stock manager 1 for Accountant 1 for GM 1 for DM

Refrigerated Carrier Vans

Office Furniture and kitchen tools

Packaging and labeling of bottles Software : Tally Air conditioners: 2 Refrigerator (585 L) :3 Basic Kitchen appliances Lighting

Capital requirement
Cost of fixed assets
11,19,200

Total expenses till revenue starts

Sunk cost Fixed costs for 2 years Variable costs for 2 years

57,20,851
42,500 15,53,962 19,48,960

Total

1,23,34,433

Depreciation
PRICE no. Fixed assets Furniture Blenders Design boards Glass Bottle Packaging 3 in 1 (printer , scanner , photocopier) Generator and sound proofing Computers Tally software Air conditioners Refrigerator
10000 5000 300 10 10000 11 10 4 2700 1

Total Y1
110000 50000 1200 27000 10000 88000 22000 40000 9600 1080 120 21600 5400 8000 2000

Y2
70400 17600 32000 5760 972 108 17280 4320 6400 1600

Y3
56320 14080 25600 3456 875 97 13824 3456 5120 1280

Y4
45056 11264 20480 2074 787 87 11059 2765 4096 1024

Y5
36045 9011 16384 1244 709 79 8847 2212 3277 819

Y6
28836 7209 13107 746 638 71 7078 1769 2621 655
WDV DEP WDV DEP WDV DEP WDV DEP WDV DEP

6000

6000

4800 1200 400000 100000 96000 24000 50000 50000 96000 24000 24000 6000 36000 9000

3840 960 320000 80000 76800 19200 25000 25000 76800 19200 19200 4800 28800 7200

3072 768 256000 64000 61440 15360 12500 12500 61440 15360 15360 3840 23040 5760

2457.6 614 204800 51200 49152 12288 6250 6250 49152 12288 12288 3072 18432 4608

1966.08 492 163840 40960 39322 9830 3125 3125 39322 9830 9830 2458 14745 3686

1572.9 393.2 131072 32768 31457 7864 1563 1563 31457 7864 7864 1966 11796 2949

WDV DEP WDV DEP WDV DEP WDV

500000 20000 100000 24000 10000

1 6 1 5 3 1

500000 120000 100000 120000 30000 45000

DEP
WDV DEP WDV DEP WDV DEP TOTAL DEP

Kitchen appliances 45000

Total Depreciation

253320

185748

139957

107532

83746

56390

Salaries
No. Salary per Employ month ed Total salary

Y1

Y2

Y3

Y4

Y5

Y6

Stock manager 14000 Field marketing 15000 assistants Salesman Production /distribution supervisor Security guard Peon

1 2 1

14000 30000 13000

13000

18000 10000 4000

1 1 1

18000 10000 4000

3,56,000 4,02,280 4,54,576.4 513671 580449 655907

Total salary for a quarter

1.130
10%INFLATION

P&L
Y1
No of units No of units different sizes Avg selling price per unit of sauce Avg selling price per unit of gift packs Total revenue(sales) cost of goods sold Avg cost of unit sold Avg cost gift pack per unit Cost of ingredients Cost of gift packs etc. Total COGS Gross profit Fixed costs Salaries Electricity Carry vans Telephone bills Advertising cost Posters Marketing costs Stationary costs Depreciation Total variable expenses EBIT interest(10% per quarter) PBT Tax @30% PAT 6,000 600 1,500 700 9,42,000 800 400 4,80,000 2,40,000 7,20,000 2,22,000 3,56,000 2,40,000 24,000 1,20,000 2,00,750 1,20,000 5,40,000 12,000 2,53,320 18,66,070 -16,44,070 -6,16,721 -22,60,791 -22,60,791

Account
Y3
15,960 1,500 2,535 1,183 42,23,310 1,004 502 16,01,617 7,52,640 16,76,881 25,46,429 4,54,576.4 2,95,704 29,570 2,02,800 2,47,344 1,47,852 7,79,220 14,785 1,39,957 23,11,808 2,34,621 -6,16,721 -3,82,100 1,14,630 4,96,730

Y2
12,000 1,200 1,950 910 24,49,200 896 448 10,75,200 5,37,600 11,28,960 13,20,240 4,02,280 2,66,400 26,640 1,56,000 2,22,833 1,33,200 5,99,400 13,320 1,85,748 20,05,821 -6,85,581 - 6,16,721 -13,02,302 3,90,691 -16,92,993

Y4
21,227 1,875 3,296 1,538 72,83,648 1,124 562 23,85,770 10,53,696 24,91,139 47,92,509 5,13,671 3,28,231 32,823 2,63,640 2,74,552 1,64,116 10,12,986 19,221 1,07,532 27,16,772 20,75,737 -6,16,721 14,59,016 4,37,705 10,21,311

Y5
28,232 2,344 4,284 1,999 1,25,63,438 1,259 629 35,53,843 14,75,174 37,01,360 88,62,078 5,80,449 3,64,337 36,434 3,42,732 3,04,753 1,82,168 13,16,882 24,987 83,746 32,36,488 56,25,590 -6,16,721 50,08,869 15,02,661 35,06,208

Y6
37,548 2,930 5,569 2,599 2,16,73,453 1,410 705 52,93,804 20,65,244 55,00,329 1,61,73,124 6,55,907 4,04,414 40,441 4,45,552 3,38,275 2,02,207 17,11,946 32,483 56,390 38,87,615 1,22,85,509 -6,16,721 1,16,68,788 35,00,636 81,68,152

Balance sheet
PARTICULARS Y1

ASSETS

FIXED ASSETS (adjusting for depreciation)

8,65,480

written off preliminary expenses total fixed asset

CURRENT ASSETS Cash at bank TOTAL ASSET LIABILITIES capital equity +/- loss and gains total equity bank loan TOTAL

4,13,347 12,78,827

1,25,00,000 1,37,78,827

61,67,216.5 -22,60,791 39,06,425.5 98,72,401 1,37,78,827

Breakeven Analysis
No of total units Total selling revenue (Rs) Avg selling price (Rs) Avg variable cost (Rs) Contribution margin Total fixed cost Breakeven 37,260 33,16,140 89 47.65 41.41 21,67,412 52,864

So we break even after selling 52,864 units i.e. in 2nd yr.