FINANCIAL MARKETS PROJECT

RENTRO
 RENTRO
BUSINESS PROSPECT
 Rentro is an app offering renting facility to the crowd in respect to books, journals
, magazines, novels etc.
 We provide to the users an opportunity to spend least and enjoy the benefit of
the huge world of books.
 It allows users to rent books on weekly, monthly, and yearly basis, allowing them
to select the exact date of renting and delivery.
 The application allows them to search for any book they desire.
 It allows users to either pay cash on delivery or online payment services.
 TARGET CUSTOMERS
 Rentro being an app providing books on rent, we initially target the studying
group among the public due to their need for expensive books for a short
period.
 Rentro will provide such books at an affordable rate and with least amount
of formalities thereby giving ease to customers.
 We also provide magazines and novels, therefore also target part of
community such as housewives, senior citizens who have time and interest
in reading.
 SIMILAR PRODUCTS AND ADVANTAGES
 There are many other similar products available in the market, thereby facing
stiff competition.
 In order to compete with the rest of the competitors, Rentro offers a variety of
services such as offering pay for subscriptions, pdf services, reading books
and a week’s return available for the books.
 Rentro is committed to reaching a wide area of customers, therefore making
services available to many kids, students and people who love reading books.
 We are set to expand our business to
 a) Renting of Movies
 b) Renting of T.V Services
 c) Renting of clothes
 This we intend to do after testing the market for a minimum period of 3 years.
 ADVANTAGES
There are various benefits that come from using our services:
 Saves Money
 Easy Accessibility
 Environmental Friendly
 User Friendly
 Delivery to Doorstep
 Cash on Delivery
 Helps promote a reading habit among people
 Helps improve knowledge of the current generation
 Easy returns of the books
 Use books without having to pay for them
 Reduction in expense incurred for books for customers.
 Unique Selling PROPORTION
 USP states that such campaigns made unique propositions to customers that
convinced them to switch brands. USP is really important to survive in such a
competitive market where every day new brands come and go but only the
best one can stay and strive.
Rentro also has its USP and here they are:
 We give the customers flexibility of the time duration of usage for book and
charge them accordingly.
 We allow them to use the pdf provided by us for the specified cost which is
really economical.
 The customers can use the book without paying the total cost of book.
 We provide doorstep delivery and pickup of books making it really comfortable
for customers and time saving.
 The app is really simple and user friendly.
 SELLING STRATEGIES
 A product without a good selling strategy is not going to see the day light.
Making a product does not conclude the work of a company but the actual task
is selling the manufactured product in the competitive market.
 Selling strategies make sure that your product reaches the correct target
customers and urges a feeling of buying.
 It helps to attract customers to the product
Rentro also have devised its selling strategy carefully and it includes the
following
 Digital Marketing: as most of the youth spend their time on digital platform.
 School visits: providing awareness and information to schools and colleges.
 Social media: In order to act down on immense advertising expenses,
launching the app on social media, and only helps reach a vast network of
customers, but is also a cost effective method.
 INVESTMENT PROCESS
 We have categorised our financial needs under two basic heads:

FIXED WORKING
a) Book value a) Maintenance
b) Copyrights/ patents b) Delivery charges
c) Legal charges c) Packaging
d) Go-down d) Scanning charges
e) Rent/ lease e) Miscesllaneous
f) Advertising f) Salary etc.
 MAJOR CATEGORIES WE HAVE IDENTIFIED AND
HAVE COME UP WITH FOLLOWING STRATEGIES
 Authorized Capital = 1Crore
 Bank loan = Rs.20,00,000(collateral on owner’s property)
 Debentures
 Equity Shares
 INSTRUMENTS WE ARE ISSUING
 DEBENTURE
A)SHORT TERM
500* Rs1000 = 5,00,000
5 Years
Convertible to equity shares after 2 years
interest rate @ 5%p.a.
no call or put options.
B) LONG TERM
500*Rs1000 = 5,00,000
10 Years
Convertible to equity after 5 yearss
Interest rate 3% half yearly
 EQUITY SHARES:
Rs 10*70000 = 7,00,000
Dividends yearly
Rs 100* 3000 = 3,00,000
Bonus shares to people holding over 20 shares(20:1)
Dividends half yearly.
 PREFERENCE SHARES:
500*1000 = 5,00,000
Convertible to equity shares after 7 years
Dividend half yearly