PRESENTATION ON BUSINESS MODEL FOR

INTERIOR DESIGNING BUSINESS

Presented By:

Nidhi Singh (56)

Sunil Singh Baghel (59)

IPER-PGDM
TYPE OF BUSINESS: MEDIUM SCALE

• Choice of location :- Zone-2 M. P.

Nagar

• Cash in hand : Rs.25,00,000

• 50% of money will be raised from

market.

• Rest 50% from own.

RESOURCES REQUIRED:

• Investment of Rs. 20,00,000

• Shop Area Requirement : 25*35 sq. ft

 Stock Room : 10*10 sq. ft
 Advance Deposit : Rs. 2,50,000
 Monthly Rent : Rs. 35,000

• Human Resource:
 Manager-1(accounts, stock management)
 Salesmen - 2
 Trained designers - 3, helpers - 4
 Cleaner-1
• CONTACTS:
• Delhi and Indore for the supply of wooden
flooring tiles, furniture works, wall mounting
brackets and wallpapers.
• Mumbai and Ahmadabad for stock related to
modular kitchen & corporate interior designing.
• Contacts with local newspapers & commercial
channels.
• With white goods dealers for electronic gadgets.

MISC:
• Installation of CCTV cameras.
• Installation of payment devices and computer
system
 COST CALCULATION

FIXED COST

Shop on rent , rent = Rs. 4,20,000

Fixed deposit = Rs. 2,50,000
Total cost = Rs. 6,70,000

SALARIES
• 1 Manager = Rs 12,000
• 2 Salesperson = Rs. 10,000 (2)
• 3 Designers = Rs 21,000 (3)
• Cleaner = Rs 4000
• 2 Workers = Rs 5000 (2)

TOTAL = Rs 52,000
•Computer system and cameras = Rs 70,000
•Designing of store = Rs 2,00,000
•Repairing and Maintenance = Rs 50,000
•Promotion and Branding = Rs 2,50,000
•MISC = Rs 1,00,000
•Bank Installments = Rs 1,44,000

TOTAL = Rs 14,86,000
VARIABLE COST

Carriage inward
North = Rs.10,000/ round
South = Rs.12,000/ round
 
Carriage outward= Rs.150/ round (est.)(it
depends)
 
Labor for unloading= Rs.15/ head
 
TOTAL= Rs.1,50,000
 SERVICES TO BE PROVIDED

•Furniture work, wooden flooring, wall mounting

brackets, wallpapers, Modular kitchen, canopies,
overall living room, bathroom etc.

• Charging a fixed amount of Rs.1000 plus the

extra work done by the worker.
CONSTRAINTS:

• COMPETITORS
• FRESHERS
• EXPERIENCE
• TRAINED EMPLOYEES

MISC. EXPENSES:

•Expenses for customer relationship management

(CRM) Phone calls, Blogs, Gifts etc.
•Website Designing
•Stationary and telephone charges
•Postal charges
•R&D
 PROFIT ESTIMATION

• Target of Three modular kitchens to be

installed, profit=Rs.60,000 , (30% of S.P.) per
month.

• Rs. 75,000 from other services.

• A total of Rs.1,35,000 will leave Rs. 17,000 ,

after deducting all the expenses.

• A profit of around 15%.

 BUSINESS STRATEGIES

• Reality sector at boom in the city.

• Increase in the standard of living by 45%.

• Developing townships being the targets.

• BREAK EVEN after a year of commencement.

• CONTRIBUTION PRICING as the pricing

strategy.

• Future expansions in tier-2 cities.

 REFERENCES

•Aeon Connexions (P) Ltd, Malviya

nagar, Bhopal

• Soumya Consultants & Designers, Koi-

e-fiza, Bhopal.
THANX..