PROJECT REPORT

Of

MOUSE PAD

PURPOSE OF THE DOCUMENT

This particular pre-feasibility is regarding Mouse Pad Manufacturing unit.

The objective of the pre-feasibility report is primarily to facilitate potential entrepreneurs in project
identification for investment and in order to serve his objective; the document covers various aspects
of the project concept development, start-up, marketing, finance and management.

[We can modify the project capacity and project cost as per your requirement. We can also prepare
project report on any subject as per your requirement.]

Lucknow Office: Sidhivinayak Building ,

27/1/B, Gokhlley Marg, Lucknow-226001

Delhi Office : Multi Disciplinary Training

Centre, Gandhi Darshan Rajghat,
New Delhi 110002

Email : [email protected]
Contact : +91 7526000333, 444, 555
 PROJECT AT A GLANCE
1 Name of the Entreprenuer xxxxxxxxxx

2 Constitution (legal Status) : xxxxxxxxxx

3 Father / Spouse Name xxxxxxxxxxxx

4 Unit Address : xxxxxxxxxxxxxxxxxxxxxx

District : xxxxxxx
Pin: xxxxxxx State: xxxxx
Mobile xxxxxxx

5 Product and By Product : MOUSE PAD

6 Name of the project / business activity proposed : MOUSE PAD MANUFACTURING UNIT

7 Cost of Project : Rs.24.84 Lakhs

8 Means of Finance
Term Loan Rs.14.58 Lakhs
Own Capital Rs.2.48 Lakhs
Working Capital Rs.7.77 Lakhs

9 Debt Service Coverage Ratio : 2.86

10 Pay Back Period : 5 Years

11 Project Implementation Period : 5-6 Months

12 Break Even Point : 31%

13 Employment : 11 Persons

14 Power Requirement : 20.00 HP

15 Major Raw materials : Silicon Rubber Roll

16 Estimated Annual Sales Turnover (Max Capacity) : 172.08 Lakhs

17 Detailed Cost of Project & Means of Finance

COST OF PROJECT (Rs. In Lakhs)

Particulars Amount
Land Own/Rented
Plant & Machinery 15.70
Furniture & Fixtures 0.50
Working Capital 8.64
Total 24.84

MEANS OF FINANCE
Particulars Amount
Own Contribution 2.48
Working Capital(Finance) 7.77
Term Loan 14.58
Total 24.84
 MOUSE PAD MANUFACTURING UNIT

Introduction:

A mousepad is a flat surface on which a computer mouse may be positioned and

moved. By providing a surface for the mouse to monitor movement precisely and
without jitter, a mousepad improves its usefulness as compared to using a mouse
directly on a table. Although the benefits of a cushioned wrist rest on some
mousepads are disputed, they do improve ergonomics. Higher speed, better
precision, and user comfort were the three most major advantages of the mousepad's
debut. A side benefit was that constant hand and mouse rubbing motions did not
damage or wear the tabletop or table surface. Another advantage was that the
accumulation of dirt under the mouse was minimized, resulting in less jitter of the
pointer on the display. Computer mouse is intended to move the pointer around the
screen in an easy and smooth manner, but a mouse pad makes this operation
considerably more efficient. While the mouse can operate without a pad, it is
recommended that you use one to keep the mouse's sensors clean and free of
potentially harmful dust and debris.
Uses & Market Potential:

Mouse pad is a surface made from resilient material for placing and moving a
computer mouse. A mousepad enhances the usability and utility of the mouse
compared to using a mouse directly on a table. This is considered as an essential item
for the smooth functioning of the mouse without any hindrance. The mouse pad
market is divided into four categories: region (country), players, type, and
application. Players, stakeholders, and other market players in the worldwide Mouse
Pad market will get an advantage by utilizing the research as a valuable resource.
Technavio has updated its offering to include the worldwide computer accessories
market by end-user (business and consumer) and geography (North America, APAC,
Europe, South America, and MEA). During the year 2020- 2024, the worldwide
computer accessories market is anticipated to expand by USD 2.86 billion, with a
CAGR of about 6%.

Product:
Mouse Pad

Raw Material:
The raw materials used to form Mouse pads is a single resource silicon rubber roll
procured from the vendor.
Manufacturing Process:

PREPPING MATERIAL

MEASURING THE MATERIAL

CUTTING THE MATERIAL

PRINTING WITH A DESIGN

CHECKING FOR QUALITY CONTROL

PACKAGING

Area:

The industrial setup requires space for Inventory, workshop or manufacturing area, space
for power supply utilities and polishing area. Also, some of the area of building is
required for office staff facilities, office furniture, etc. Thus, the approximate total area
required for complete industrial setup is 1200-1800Sqft.
Cost of Machines:

Machine Unit Rate Price

Injekt Printing Machine 1 1120000 1120000
Die Cutting Machine 1 400000 400000

Other equipment’s and tools - - 50000

Total Amount 1570000

Power Requirement- The estimated Power requirement is taken at 20 HP.

Manpower Requirement– Following manpower is required:

 Machine operator-2
 Skilled/unskilled worker-3
 Helper-4
 Manager cum Accountant-1
 Sales Personnel-1

FINANCIALS
PROJECTED BALANCE SHEET

PARTICULARS I II III IV V

SOURCES OF FUND
Capital Account
Opening Balance - 3.62 5.19 7.83 11.70
Add: Additions 2.48 - - - -
Add: Net Profit 5.13 6.57 8.15 9.86 11.62
Less: Drawings 4.00 5.00 5.50 6.00 7.50
Closing Balance 3.62 5.19 7.83 11.70 15.82
CC Limit 7.77 7.77 7.77 7.77 7.77
Term Loan 12.96 9.72 6.48 3.24 -
Sundry Creditors 3.26 3.75 4.24 4.76 5.30

TOTAL : 27.61 26.42 26.33 27.47 28.89

APPLICATION OF FUND

Fixed Assets ( Gross) 16.20 16.20 16.20 16.20 16.20

Gross Dep. 2.41 4.45 6.19 7.68 8.94
Net Fixed Assets 13.80 11.75 10.01 8.52 7.26

Current Assets
Sundry Debtors 4.43 5.41 6.24 7.11 8.03
Stock in Hand 7.47 8.61 9.80 11.02 12.30
Cash and Bank 1.92 0.65 0.29 0.81 1.30

TOTAL : 27.61 26.42 26.33 27.47 28.89

- - - - -
PROJECTED PROFITABILITY STATEMENT

PARTICULARS I II III IV V

A) SALES
Gross Sale 94.85 115.99 133.73 152.42 172.08

Total (A) 94.85 115.99 133.73 152.42 172.08

B) COST OF SALES

Raw Material Consumed 65.28 74.91 84.89 95.25 105.98

Elecricity Expenses 1.79 2.01 2.24 2.46 2.69
Repair & Maintenance 2.37 2.90 3.34 3.81 4.30
Labour & Wages 12.35 15.44 18.83 22.22 25.78
Depreciation 2.41 2.05 1.74 1.48 1.26
Cost of Production 84.19 97.30 111.04 125.23 140.01

Add: Opening Stock /WIP - 4.21 4.87 5.55 6.26

Less: Closing Stock /WIP 4.21 4.87 5.55 6.26 7.00

Cost of Sales (B) 79.98 96.65 110.36 124.52 139.27

C) GROSS PROFIT (A-B) 14.86 19.34 23.37 27.91 32.81

15.67% 16.68% 17.48% 18.31% 19.07%
D) Bank Interest i) (Term Loan ) 1.58 1.29 0.94 0.58 0.22
ii) Interest On Working Capital 0.85 0.85 0.85 0.85 0.85
E) Salary to Staff 5.67 6.80 8.16 9.63 10.79
F) Selling & Adm Expenses Exp. 1.42 3.25 4.28 5.33 6.88

G) TOTAL (D+E+F) 9.53 12.20 14.23 16.40 18.75

H) NET PROFIT 5.33 7.14 9.14 11.50 14.06

5.6% 6.2% 6.8% 7.5% 8.2%
I) Taxation 0.20 0.58 0.99 1.64 2.44

J) PROFIT (After Tax) 5.13 6.57 8.15 9.86 11.62

PROJECTED CASH FLOW STATEMENT

PARTICULARS I II III IV V

SOURCES OF FUND

Own Contribution 2.48 - - - -

Reserve & Surplus 5.33 7.14 9.14 11.50 14.06
Depriciation & Exp. W/off 2.41 2.05 1.74 1.48 1.26
Increase In Cash Credit 7.77 - - - -
Increase In Term Loan 14.58 - - - -
Increase in Creditors 3.26 0.48 0.50 0.52 0.54

TOTAL : 35.84 9.67 11.38 13.50 15.86

APPLICATION OF FUND

Increase in Fixed Assets 16.20 - - - -

Increase in Stock 7.47 1.14 1.19 1.23 1.28
Increase in Debtors 4.43 0.99 0.83 0.87 0.92
Repayment of Term Loan 1.62 3.24 3.24 3.24 3.24
Taxation 0.20 0.58 0.99 1.64 2.44
Drawings 4.00 5.00 5.50 6.00 7.50
TOTAL : 33.92 10.94 11.74 12.98 15.37

Opening Cash & Bank Balance - 1.92 0.65 0.29 0.81

Add : Surplus 1.92 - 1.27 - 0.36 0.53 0.49

Closing Cash & Bank Balance 1.92 0.65 0.29 0.81 1.30
COMPUTATION OF CLOSING STOCK & WORKING CAPITAL

PARTICULARS I II III IV V

Finished Goods
(15 Days requirement) 4.21 4.87 5.55 6.26 7.00
Raw Material
(15 Days requirement) 3.26 3.75 4.24 4.76 5.30

Closing Stock 7.47 8.61 9.80 11.02 12.30

COMPUTATION OF WORKING CAPITAL REQUIREMENT

Particulars Amount Margin(10%) Net

Amount
Stock in Hand 7.47
Less:
Sundry Creditors 3.26
Paid Stock 4.21 0.42 3.79

Sundry Debtors 4.43 0.44 3.98

Working Capital Requirement 7.77

Margin 0.86

MPBF 7.77
Working Capital Demand 7.77
REPAYMENT SCHEDULE OF TERM LOAN 11.0%

Year Particulars Amount Addition Total Interest Repayment Cl Balance

I Opening Balance
Ist Quarter - 14.58 14.58 0.40 - 14.58
Iind Quarter 14.58 - 14.58 0.40 - 14.58
IIIrd Quarter 14.58 - 14.58 0.40 0.81 13.77
Ivth Quarter 13.77 - 13.77 0.38 0.81 12.96
1.58 1.62
II Opening Balance
Ist Quarter 12.96 - 12.96 0.36 0.81 12.15
Iind Quarter 12.15 - 12.15 0.33 0.81 11.34
IIIrd Quarter 11.34 - 11.34 0.31 0.81 10.53
Ivth Quarter 10.53 10.53 0.29 0.81 9.72
1.29 3.24
III Opening Balance
Ist Quarter 9.72 - 9.72 0.27 0.81 8.91
Iind Quarter 8.91 - 8.91 0.25 0.81 8.10
IIIrd Quarter 8.10 - 8.10 0.22 0.81 7.29
Ivth Quarter 7.29 7.29 0.20 0.81 6.48
0.94 3.24
IV Opening Balance
Ist Quarter 6.48 - 6.48 0.18 0.81 5.67
Iind Quarter 5.67 - 5.67 0.16 0.81 4.86
IIIrd Quarter 4.86 - 4.86 0.13 0.81 4.05
Ivth Quarter 4.05 4.05 0.11 0.81 3.24
0.58 3.24
V Opening Balance
Ist Quarter 3.24 - 3.24 0.09 0.81 2.43
Iind Quarter 2.43 - 2.43 0.07 0.81 1.62
IIIrd Quarter 1.62 - 1.62 0.04 0.81 0.81
Ivth Quarter 0.81 0.81 0.02 0.81 - 0.00
0.22 3.24

Door to Door Period 60 Months

Moratorium Period 6 Months
Repayment Period 54 Months
CALCULATION OF D.S.C.R
PARTICULARS I II III IV V

CASH ACCRUALS 7.54 8.62 9.89 11.35 12.88

Interest on Term Loan 1.58 1.29 0.94 0.58 0.22

Total 9.12 9.91 10.83 11.93 13.11

REPAYMENT
Repayment of Term Loan 1.62 3.24 3.24 3.24 3.24
Interest on Term Loan 1.58 1.29 0.94 0.58 0.22

Total 3.20 4.53 4.18 3.82 3.46

DEBT SERVICE COVERAGE RATIO 2.85 2.19 2.59 3.12 3.79

AVERAGE D.S.C.R. 2.86

Assumptions:
1. Production Capacity of Mouse Pad Manufacturing unit is taken at 1600 Pcs per
day. First year, Capacity has been taken @ 40%.

2. Working shift of 10 hours per day has been considered.

3. Raw Material stock and Finished goods closing stock has been taken for 15
days.

4. Credit period to Sundry Debtors has been given for 14 days.

5. Credit period by the Sundry Creditors has been provided for 15 days.

6. Depreciation and Income tax has been taken as per the Income tax Act,1961.

7. Interest on working Capital Loan and Term loan has been taken at 11%.

8. Salary and wages rates are taken as per the Current Market Scenario.

9. Power Consumption has been taken at 20 HP.

10. Selling Prices & Raw material costing has been increased by 3% & 2%
respectively in the subsequent years.
 DISCLAIMER

The views expressed in this Project Report are advisory in nature. SAMADHAN
assume no financial liability to anyone using the content for any purpose. All the
materials and content contained in Project report is for educational purpose and
reflect the views of the industry which are drawn from various research material
sources from internet, experts, suppliers and various other sources. The actual
cost of the project or industry will have to be taken on case to case basis
considering specific requirement of the project, capacity and type of plant and
other specific factors/cost directly related to the implementation of project. It is
intended for general guidance only and must not be considered a substitute for a
competent legal advice provided by a licensed industry professional. SAMADHAN
hereby disclaims any and all liability to any party for any direct, indirect, implied,
punitive, special, incidental or other consequential damages arising directly or
indirectly from any use of the Project Report Content, which is provided as is, and
without warranties.