Profile No.

: 269 NIC Code:63991

ANDROID BASE APP DEVELOPMENT

1. INTRODUCTION:

In today’s world people like to get data on their mobile phone. Any web data need to be
compatible on android platform. Thus small/medium/large business owner prefer to develop
their identity on android platform.
Android apps are developed with the Java coding language and the Android Software
Development Kit, which runs on Mac, PC or Linux. You also need to use an IDE such as
Eclipse.

2. SERVICE & ITS APPLICATION:

Custom android mobile apps can be partially or fully personalized to suit your business
needs. These apps are altered to address a particular audience rather than providing a
solution which caters to a large group with varying requirements. Custom android mobile
apps are gaining momentum - as per the reports, on an average, about 7.5 hours per
employee per week are saved by using customized mobile apps, and 82% of the business
owners believe that it helped them earn additional business revenues.

3. DESIRED QUALIFICATIONS FOR PROMOTER:

Promoter for this service may have higher studies in application development as well as
background of sales and marketing can be a value added plus point so that it brings down
the cost of building project and also make the implementation smoother and it will require
less time to build with greater quality.
 4. INDUSTRY LOOK OUT AND TRENDS

Mobile apps have made a great contribution to a lot of businesses in a variety of different
industries. It used to be considered an optional addition to one’s overall marketing and
business development efforts, however, it has now has become a necessity as it increases
usability, meeting customer’s demands while building brand awareness and increasing sales.

Mobile app development is on the upraise, With over 250 billion free apps downloaded in
2017 alone, an increase for these downloads is also expected to continue for many years to
come. If you are in the mobile app development industry, below are some development
trends that you should watch out for in 2018, as growth is expected to continue.

5. MARKET POTENTIAL AND MARKETING ISSUES:

These days, businesses of all kinds, whether small, medium or large are taking advantage of
the customized business apps as it helps them stay competitive and increase productivity.
We have some of the most popular advantages of custom mobile app development for
businesses. Since the business apps are custom-built keeping your business requirements in
mind, it acts like a comprehensive app performing diverse functions and negates the
requirement of multiple apps. Also, as these apps are tailored to suit your working style, it
enhances the employee productivity and in turn business ROI Regular apps are built to
handle limited number of resources and processes. In the event of your business growing,
these apps may not be able to handle the load. Custom made apps, on the other hand are
built keeping in mind all these parameters and can be scaled up easily when the need arises.

6. REQUIREMENTS – Material/Equipment and manpower

Resources
1. Computers with latest OS and Network Infrastructure
2. Advanced Software required in application development

Manpower
1. Software developers: 2 or 3 minimum, who are skilled to write code in various
languages according to requirement
2. Tech-Support: 1 who can manage server data and hosting
3. Sales and marketing: 1 or 2 who can work on official documentation and can re-
present project in front of client.

7. MANUFACTURING PROCESS:

Step 1: An app should always be developed keeping in mind the target users of an
application. Having a clear vision regarding the target group, enhance the success ratio of an
app.

Step 2: Mobile platforms and devices should be selected keeping in mind hardware
performance, battery life, ruggedness and required peripherals. Certain factors that needs to
be considered while selecting mobile platforms and devices includes coverage, device
support, performance and other features.

Step 3: The app market is booming like never before.  To ensure this resource and generate
revenue, app developer needs to select appropriate approach in accordance with the app.
There are different models of generating revenue from mobile applications which include
paid applications, separate app and in-app fermiums, advertisements, subscription and pay
per download.

8. MANPOWER REQUIREMENT:
Sr. No. Designation of SALARY PER Monthly
Year-1 Year-2 Year-3 Year-4 Year-5
Employees PERSON Salary ₹
1 App Developer 18000 54000 3 3 3 3 1

2 Tech Support 12000 12000 1 1 1 2 5

3 Marketing Support 10000 20000 2 2 2 3 2

4 Quality testing person 15000 15000 1 1 1 1 1

Accounts/Stores 1 1 1 1 1
5 12500 12500
Assistant
6 Office Boy 9000 9000 1 1 1 1 1

Total 115000 9 9 9 11 11

9. IMPLEMENTATION SCHEDULE:

The project can be implemented in 4 months’ time as detailed below:

Sr. No. Activity Time Required

(in months)
1 Acquisition of premises 1.00

2 Construction (if applicable) 1.00

3 Procurement & installation of Plant & Machinery 1.00

4 Arrangement of Finance 2.00

5 Recruitment of required manpower 1.00

Total time required (some activities shall run concurrently) 4.00

10. COST OF PROJECT:

The project shall cost ₹ 21.32 lakhs as detailed below:

Sr. Particulars ₹ in Lacs

No.
1 Land 0.00
2 Building 0.00
 3 Plant & Machinery 2.51
4 Furniture, Electrical Installations 2.00
Other Assets including Preliminary / Pre-
5 0.25
operative expenses
6 Working Capital 16.56
Total 21.32

11. MEANS OF FINANCE:

Bank term loans are assumed @ 75 % of fixed assets. The proposed funding pattern
is as under:
Sr. No. Particulars ₹ in
1 Promoter's contribution 5.33
Lacs
2 Bank Finance 15.99
Total 21.32

12. WORKING CAPITAL CALCULATION:

The project requires working capital of 16.56 lakhs as detailed below:

Sr. No. Particulars Gross Amt Margin % Margin Amt Bank Finance

1 Inventories 8.28 0.25 2.07 6.21

2 Receivables 4.14 0.25 1.04 3.11
3 Overheads 4.14 100% 4.14 0.00
4 Creditors - 0.00 0.00
Total 16.56 7.25 9.32

13. PLANT AND MACHINERIES REQUIRED

Sr. Value
Particulars UOM Qtty Rate (₹)
No. (₹ in Lacs)

Plant & Machinery / equipments

a) Main Machinery

i. Computers NOS. 1 100000 1.00

ii. Software’s Nos 5 10000 0.50

iii. Computer Network Nos 1 10000 0.10

IV Installation, Erection 21,000 0.21

V TAXES AND TRANSPORTATION 70000 0.70
sub-total Plant & Machinery 2.51
Furniture / Electrical installations
a) Office furniture LS 1 50000 0.50
b) Stores Almirah LS 1 0 0.00

c) Air-condition and other infrastructure L. S. 1 150000 1.50

sub total 2.00

Other Assets
a) Preliminary and preoperative 0.25

sub-total Other Assets 0.25

Total 4.76

All the Computers, its peripherals and other equipments are available from local
manufacturers. The entrepreneur needs to ensure proper selection of product mix and
proper type of equipments and accessories to have modern and flexible designs. Some of
the suppliers of computers and accessories are as below:

1. Impressive Computers
Hasan Ali House No. 4/41-A,
Noor Baug, Umerkhadi,
Mumbai - 400009,
Maharashtra, India

2. Computer Planet
Shop No. 1, Shaniwar Peth-53,
Opposite Amruteshwar Mandir,
Amruteshwar Co Operative Housing Society,
Near Shaniwar Wada,
 Pune – 411030,
Maharashtra, India

3. Visicube Technologies Private limited

Door No. 1-8-315,
Begumpet, Opposite US Consulate,
Hyderabad - 500016,
Telangana, India

4. Micon Automation Systems Private Limited

A-814, Siddhi Vinayak Towers,
Behind DCP Office, Makarba,
Ahmedabad - 380051,
Gujarat, India

5. Adaptek Automation Technology

No. 13, F- 3, 2nd Floor,
Main Road, Adyar Nehru Nagar,
Near H.D.F.C. Bank A.T.M.,
Chennai - 600020,
Tamil Nadu, India

Turnover

Sr. No Description Cost/Unit Quantity Sales/ Revenue/year

/Month month
1 Generic Mobile App ₹60,000 4 240000.00 28.80
2 Dedicated Web App ₹50,000 5 250000.00 30.00
3 Hybrid App ₹1,00,000 2 200000.00 24.00
Total 82.80

14. PROFITABILITY CALCULATIONS:

Sr. No. Particulars UOM Year-1 Year-2 Year-3 Year-4 Year-5

1 Capacity Utilization % 60% 70% 80% 90% 100%

2 Sales ₹. In Lacs 49.68 57.96 66.24 74.52 82.80

3 Raw Materials & Other direct inputs ₹. In Lacs 23.35 27.24 31.14 35.03 38.92

4 Gross Margin ₹. In Lacs 26.33 30.72 35.10 39.49 43.88

5 Overheads except interest ₹. In Lacs 4.06 4.32 4.83 4.98 5.08

6 Interest ₹. In Lacs 1.60 1.60 1.07 0.80 0.64

7 Depreciation ₹. In Lacs 1.76 1.26 0.88 0.63 0.56

8 Net Profit before tax ₹. In Lacs 18.91 23.54 28.33 33.09 37.60

The basis of profitability calculation:

The growth of selling capacity will be increased 10% per year. (This is assumed by various
analysis and study, it can be increased according to the selling strategy.)

Energy Costs are considered at Rs 7 per Kwh and fuel cost is considered at Rs. 65 per litre.
The depreciation of plant is taken at 10-12 % and Interest costs are taken at 14 -15 %
depending on type of industry.

15. BREAKEVEN ANALYSIS:

Sr. No. Particulars UOM Value

1 Sales at full capacity ₹. In Lacs 82.80
2 Variable costs ₹. In Lacs 38.92
3 Fixed costs incl. interest ₹. In Lacs 5.72
% of
4 BEP = FC/(SR-VC) x 100 13.03%
capacity

16. STATUTORY / GOVERNMENT APPROVALS

Bureau of Indian Standards (BIS) is operating Compulsory Registration Scheme (CRS) for
Electronics & IT Goods as per the provision of Chapter IVA of THE BUREAU OF INDIAN
STANDARDS RULES, 1987 for the product categories notified by MeitY. Visit official
government website (Bureau of Indian Standards) for notice about products on:
http://crsbis.in/BIS/
Entrepreneur may contact State Pollution Control Board where ever it is applicable.

17. BACKWARD AND FORWARD INTEGRATIONS

It is assumed that the unit will be viable at 75% efficiency on single shift basis considering 5
working days or as per demand of area per week.

The rate of interest in the scheme is taken at 11.5 % for both fixed and working capital. Due
to liberalization and competition among banks, lower rate of interest is possible in future.

The prices of machinery and equipment are approximate which are ruling locally at the time
of preparation of the project. When a tailor-cut project is prepared the necessary changes
are to be made at the local level.

The cost of staff and labour is approximate which is ruling locally at the time of preparation
of the profile. When a tailor-cut project is prepared the necessary changes are to be made.

18. TRAINING CENTERS AND COURSES

There is no specific course in repairing and assembling services, but the most authorized
center is government authorized “ITI” available in all the cities across the country.

India Training institute of computer technology conducts various technical courses in

different cities to enable students to make a bright career. Most of our vocational programs
are job-oriented with which students can start earning the day they finish their training or
can learn them as a hobby. Students can join for any of these in vacations as all these are
short-term certificate courses.

Udyamimitra portal ( link : www.udyamimitra.in ) can also be accessed for hand-holding

services viz. application filling / project report preparation, EDP, financial Training, Skill
Development, mentoring etc.
Entrepreneurship program helps to run business successfully is also available from Institutes
like Entrepreneurship Development Institute of India (EDII) and its affiliates all over India.

Disclaimer:
Only few machine manufacturers are mentioned in the profile, although many machine
manufacturers are available in the market. The addresses given for machinery manufacturers
have been taken from reliable sources, to the best of knowledge and contacts.  However, no
responsibility is admitted, in case any inadvertent error or incorrectness is noticed therein. 
Further the same have been given by way of information only and do not carry any
recommendation.