Leather Gloves Manufacturing Unit Feasibility

8/11/2019 Leather Gloves Manufacturing Unit Feasibility

1/18

Pre-Feasibility Study

LEATHER GLOVESMANUFACTURING UNIT

Small and Medium Enterprise Development AuthorityGovernment of Pakistan

www smeda org pk


2/18

www smeda org pk

Pre-feasibility Study Leather Gloves

1 INTRODUCTION......................................................................................................................... 5

1.1 LEATHER & LEATHER GLOVES........................................................................................ 51.2 INDUSTRY BRIEF................................................................................................................ 5

2 KEY SUCCESS FACTORS.......................................................................................................... 5

2.1 OPPORTUNITIES................................................................................................................. 52.2 THREATS............................................................................................................................. 6

3 PROJECT BRIEF......................................................................................................................... 6

3.1 PROCESS FLOWCHART FOR GLOVESMANUFACTURING........................................... 73.2 PROCESS DESCRIPTION .................................................................................................... 8

3.2.1 Pattern Making.................................................................................................................. 8 3.2.2 Cutting .............................................................................................................................. 8 3.2.3 Stitching ............................................................................................................................ 8 3.2.4 Inspection.......................................................................................................................... 8 3.2.5 Packing ............................................................................................................................. 8

3.3 PROJECT COST.................................................................................................................... 83.4 RATIONALE & JUSTIFICATION......................................................................................... 8

3.4.1 Local Competition ............................................................................................................. 9

3.4.2 Export Rebate.................................................................................................................... 93.4.3 Project Findings ................................................................................................................ 93.4.4 Viable Economic Size......................................................................................................... 93.4.5 Proposed Capacity........................................................................................................... 10

4 THE PROJECT CONCEPT ....................................................................................................... 10

4.1 PROJECT FINANCING....................................................................................................... 104.2 PROJECT DETAILS............................................................................................................ 10

4.2.1 Location .......................................................................................................................... 10

4.2.2 Land................................................................................................................................ 104.2.3 Building........................................................................................................................... 104.2.4 Material Inputs ................................................................................................................ 114.2.5 Machines and Equipment................................................................................................. 114 2 6 Manpower 12


3/18


7.3 WORKING CAPITAL ......................................................................................................... 157.3.1 Accounts receivables........................................................................................................ 157.3.2 Raw Material Stock.......................................................................................................... 157.3.3 Accessories and Packing Material Stock........................................................................... 157.3.4 Advances to Employees.................................................................................................... 157.3.5 Tool and Spares Stock...................................................................................................... 157.3.6 Accounts Payable ............................................................................................................ 15

8 FINANCIAL STATEMENTS..................................................................................................... 16

8.1 INCOME STATEMENT...................................................................................................... 168.2 BALANCESHEET.............................................................................................................. 178.3 CASH FLOWS..................................................................................................................... 18


4/18


DISCLAIMER

The purpose and scope of this information memorandum is to introduce the subject

matter and provide a general idea and information on the said area. All the material

included in this document is based on data/information gathered from various sources and

is based on certain assumptions. Although, due care and diligence has been taken to

compile this document, the contained information may vary due to any change in any of

the concerned factors, and the actual results may differ substantially from the presented

information. SMEDA does not assume any liability for any financial or other loss

resulting from this memorandum in consequence of undertaking this activity. Therefore,

the content of this memorandum should not be relied upon for making any decision,

investment or otherwise. The prospective user of this memorandum is encouraged to

carry out his/her own due diligence and gather any information he/she considers

necessary for making an informed decision.

The contents of the information memorandum do not bind SMEDA in any legal or other

form.


5/18


11 II NNTT RR OO DDUUCC TT II OO NN

1.1 LEATHER & LEATHER GLOVESLeather sector is the second most dynamic sector after textiles in Pakistan. It contributes6% to Manufacturing GDP and 6.5% 1 to export earnings engaging around 250,000 peoplein the sector.

With respect to export value, leather gloves are the third largest in leather sector afterleather garments and finished leather. The export of leather gloves constitutes 17.50% oftotal leather and leather products exports. Leather gloves can be broadly classified into

two categories:a. Sports Gloves

b. Non Sports Gloves

Non-sports gloves include fashion/fancy, industrial and working gloves while sportsgloves consist of gloves, mittens and mitts meant specifically for use in sports. Fashiongloves are normally made from high quality leather whereas the industrial and working

gloves are made from low quality and split leather.1.2 INDUSTRY BRIEF

The leather gloves manufacturing is one of the major sector of Pakistan which iscontributing towards foreign exchange earning for the country. This industrial sector ismostly established in the city of Sialkot, which is well-known for its quality sports goods,leather products and surgical instruments in the global markets. However, a very smallnumber of gloves manufacturers are also located in Lahore and Karachi. Like all other

businesses in Sialkot, leather gloves manufacturers are categorized as small and mediumenterprise and majority of these establishments are of family businesses. Despite thestagnant growth in the international market, and rising cost of leather this sector hasshown an impressive growth over the years. The growth rate in exports between CY 2003


6/18


Lack of competition from China and other countries in Scandinavian countries(Sweden, Denmark) due to high health and safety requirements. (any company able

to penetrate in these markets would be yielding high prices for its products)Government has exempted the imposition of sales tax and custom duties on theimport of machinery.

Newly emerging markets of Middle East, Far East and African countries

2.2 THREATS

The proposed project will be facing the following threat:

Imposition of environment standards

Increasing international competition with China, India and Eastern Europe)

Decline in the average unit price for Pakistani exporters

Increase in price of leather

33 PP RR OO JJ EE CC TT BBRR II EE FFThis document provides details regarding setting up a fashion leather glovesmanufacturing unit. The unit will be capable of producing on average 1250 pairs offancy/fashion gloves per day. For this purpose 50 stitching machines will be acquired.The manufacture of fancy / fashion glove is less complex as compared to sports gloves,therefore, more quantities of these gloves could be manufactured daily. The proposedunit is also capable of manufacturing sports gloves and leather garments.


7/18


3.1 PROCESS FLOW CHART FOR GLOVES MANUFACTURING

Finished Leathersheep skin or cow hideaverage leather required per

pair of gloves: 3.25sq.ft.thickness: 0.6 to 0.8 mm

Pattern Cutting & Matchingcustomers specifications orsample received cutting of pattern by patternmaster grains and color matchingof leather

Cuttingleather c tting ith the help

Packingeach pair in separate


8/18


3.2 PROCESS DESCRIPTION

The process of gloves manufacturing starts with the receipt of specification / sample ofgloves from the customer and / or design developed by the designing department. Thesespecifications include quality and specifications of leather, accessories to be used, designdetails, stitching styles, packing instructions and all other necessary information. Basedon the specifications received, a sample pair of glove is prepared and sent to customer forapproval.

3.2.1 Pattern Making

Once the sample is approved, based on the specifications, pattern master first prepares the pattern on chart paper and then on straw board sheet, which will then be used for cuttingleather for confirmed order.

3.2.2 Cutting

By using the patterns prepared, cutters cut the leather for gloves with the help of knives.In case of large quantities, press machines with metal dyes can also be used. It is ensuredthat that minimum waste takes place, the average wastage of leather in cutting process is3 to 5%. A cutter cuts 50 to 70 pairs of gloves per day based on one shift of eight hours.The cutting rate per pair of fashion glove ranges from Rs.6 to Rs.10.

3.2.3 Stitching

Stitching is the next process after cutting. The gloves are stitched by stitchers usingstitching machines. During the stitching process, accessories are added which mainlyinclude lining material, foam, velcro, hooks/clips, and labels. Depending upon thedesign, daily output per stitcher per shift is between 20 to 30 pairs. Usually the payment

to stitcher for fashion gloves ranges between Rs.15 to Rs.25 per pair.3.2.4 Inspection

After the completion of stitching process, quality inspection is carried out. In this process


9/18


US$ 1.78 billion. Out of which, Pakistan has been able to export leather gloves of US$154 million yielding 8.6% market share of the global leather gloves market.

Gloves manufacturers from Pakistan have concentrated more on the sports gloves ratherthan on fancy leather gloves. In CY 2004 Pakistans exports of sport gloves and nonsports gloves were US$106 million and US$48 million respectively. This is becausePakistan (specifically Sialkot) is a major supplier of sports goods to the world market andleather sports gloves have emerged as an off shoot to this main sector. However, thenon-sports (or fashion gloves) category is an opportunity still to be explored for the localSMEs. The breakup of leather gloves Export Market is as follows:

Table 1: World Export MarketWorld Export

Breakup %Pakistan Export Break

up %Sports Leather Gloves 17% 69%

Non-Sports Leather Gloves 83% 31%

3.4.1 Local CompetitionAn estimated number of 3482 leather gloves manufacturing units are working all overPakistan. Majority of these units are manufacturers of sports gloves and very few aremanufacturing non-sports gloves. For the proposed project, the sponsors will face a littlecompetition from the local suppliers.

3.4.2 Export Rebate

In order to promote the exports of the country, Government of Pakistan has been payingrebate on export of leather gloves at the rate of 2.37% on FOB value.3.4.3 Project Findings

Table 2: Project Findings


10/18


3.4.5 Proposed Capacity

The project cost for the proposed project is based on 50 stitching machines. With thisnumber of machines, the project is capable of manufacturing 12503 pairs of gloves perday.

44 TT HH EE PP RR OO JJ EE CC TT CC OO NNCC EE PP TT4.1 PROJECT FINANCING

The estimated cost of the project is Rs.11 million including the working capital ofRs.5.394 million. The sponsors of the project will contribute Rs.5.5 million and the

remaining amount of Rs.5.5 million will be financed by the bank.4.2 PROJECT DETAILS

4.2.1 Location

Sialkot is the major gloves manufacturing center in Pakistan. After Sialkot, smallnumbers of gloves manufacturing units are also located in Karachi and Lahore.Therefore, primarily Sialkot is the best place to setup up this type of manufacturing unitfollowed by Karachi and Lahore. The reason for setting up gloves manufacturing unit inthese cities is the easy accessibility to raw materials and skilled labor.

4.2.2 Land

For the proposed project at least nine thousand (9000) square feet (2 Kanals) of land isrequired. An amount of Rs.0.945 million has been allocated for the acquisition ofrequired land. Construction for building and infrastructure will be carried on an area of10,308 sq.ft.

In this report, price of land has been estimated at Rs.105 per square feet. This price is based on the land in industrial area or in the suburbs of main city. However, prices mayconsiderably vary depending upon the location and area of the land.


11/18


The total cost of construction is estimated at Rs.2.945 million. But rented premises arerecommended for the project as it is economical and easily available. This feasibility is

calculated on the assumption of rented building with the monthly rent of Rs. 25,000 permonth. However some renovation and refurnishing work would be needed, this will costRs. 515,400.

4.2.4 Material Inputs

Leather is the main raw material required for manufacturing of fancy/fashion gloves. Thequality of the final product largely depends on this input. Great care must be taken at thetime of selection and purchase of the required leather. Usually leather with 0.6mm to

0.8mm thickness is used in fancy gloves manufacturing.Apart from the leather, other accessories which mainly include sewing thread, foamlining, and various other items are also required which are easily available in the localmarket.

4.2.5 Machines and Equipment

The machines, equipment and accessories required for a leather gloves manufacturingunit are:

Table 3: Machinery & Equipment

Machine Qty Unit Price Total AmountLock Stitch Machine-Single Needle 50 34,500 1,725,000Lock Stitch Machine-Double Needle 1 80,000 80,000Cutters 5 1,500 7,500Cutting Tables 2 12,500 25,000Hydraulic Press 1 200,000 200,000Irons/Heating hands 4 4,500 18,000Checking Table 3 5,000 15,000


12/18


acquired form local representatives of the manufacturer. Another option for acquiring thestitching machines is to directly import these machines. In this way, custom duty and

sales tax levied on the import of these machines could be saved because these machineswould be used for export purposes. Second hand stitching machines are also available inthe market and are widely used by the new entrants.

4.2.6 Manpower

Technical skilled labor is easily available in the cities where the leather gloves are beingmanufactured. Both permanent and contract labor is utilized in the gloves manufacturing

process. The cutters and the stitchers are paid on the basis of piece rate, while the

supervisory and quality control staff is hired on permanent basis. Total permanent production staff in the first year is estimated at 13 persons. The staff salaries for the firstyear are as follows:

Table 4: Human Resource Requirement

Designation No. Salary/Month Total salary 1 st Year

Production Staff Manager Production 1 20,000 240,000Pattern Master 1 15,000 180,000Supervisor Stitching 1 10,000 120,000Supervisor Inspection 1 10,000 120,000Inspectors 3 6,000 216,000Packing In charge 1 8,000 96,000

Packers 3 5,000 180,000Mechanic 1 10,000 120,000Electrician 1 5,000 60,000


13/18


global export market of leather gloves was US$1.78 billion and Pakistan has been able toexport leather gloves worth US$154 million during the same year.

5.1 TARGET CUSTOMER

The target customer would be the developed countries of the world. USA is the largest buyer of leather gloves in both sports and non-sports categories. USAs total import ofleather gloves constitutes 33 % of total world import of leather gloves in CY 2004. Thesecond position is held by Hong Kong with 12.1% share. Hong Kong is a trading huband serves as transit point for re-export. Other major buyers include Germany, Japan,France, UK, Canada and Spain.

5.2 MARKET DEMAND

The export of non-sports gloves were US$1.48 billion in CY2004, which constituted 83%of the total global gloves exports. Sports gloves export were US$299 million whichconstituted 17% of total gloves exports. This shows that the market for non-sports glovesis more than five times than that of sports gloves.

5.3 MARKET SUPPLY

China is the major supplier of leather gloves to the world market and it has outperformedall the other countries in this sector by holding 48% of world market share in 2004followed by Hong Kong 15% and Pakistan 8.6%. China has created the competitiveadvantage in its production by producing at a lower cost than any other country in theworld. Other exporters of leather gloves include Indonesia, Thailand, Philippines, Italyand India.

5.4 INDUSTRY GROWTH

There has been a very robust growth in the leather gloves sectors globally. During theyear 2004 a growth of 10%5 has been witnessed. Keeping this growth rate in mind, it isexpected that the new entrants would easily penetrate in the existing market.


14/18


77 AASSSSUUMM PP TT II OO NNSS7.1 INFLATION RATE

An inflation rate of 7.5% is considered while making the projections for cost of sales.For operational expenses and salaries inflation rate of 10% is taken into account. The

prices for raw materials, labor cost and electricity are increased by 7.5% every yearcompared to the operational expenses and staff salaries which are increased by 10%every year as a result of inflation.

The selling price for pair of leather glove is increased by 5% every year keeping in mindthe inflation. Apart from the selling price, the exchange rate between Pak rupee and USdollar is also increased at a rate of 2% each year.

7.2 REVENUE ASSUMPTIONS

7.2.1 Capacity Utilization

The capacity utilization for first year has been estimated at 45%. At 45% capacityutilization, the management would be able to manufacture 669 pairs of gloves daily. Thecapacity utilization and daily number of pairs manufactured for the remaining years are

given below:7.2.2 Daily Production

For the proposed project, it is assumed that a stitcher would stitch 30 pairs6 of leathergloves daily.

7.2.3 Selling Price

The selling price of fashion/fancy leather gloves ranges from $4 to $12 per pair

depending upon the design and quality of the product. An average selling price of US$6.50 has been taken for making the projections.

7.2.4 Depreciation on Assets


15/18


7.2.5 Amortization of Preliminary Expenses

Preliminary expenses amounting to Rs.455,000 will be amortized at the rate of 20% peryear.

7.3 WORKING CAPITAL

Working capital is calculated on the basis of following assumptions:

7.3.1 Accounts receivables

Mostly the export sales are made on the basis of letter of credit. It is the normal practicein the market to extend credit to the buyers through credit sales. For this reason, it isassumed that all the export sales will be realized on average after forty five (45) daysfrom the dispatch of shipment. Therefore, receivables for forty five days have been takenfor calculating the working capital requirements.

7.3.2 Raw Material Stock

Leather is the main raw material for the gloves manufacturing. In order to obtainrequired quality finished leather, 15 to 20 days are required for the processing of leather

by the tanner. Therefore it is necessary to maintain some stock of commonly used leatherin order to avoid stock out situation and delays in meeting the deadlines. In this project,30 days stock is recommended and has been included in the working capitalrequirements.

7.3.3 Accessories and Packing Material Stock

Accessories and packing material is easily available in the market. Therefore, 15 daysstock of accessories and packing materials has been considered in working out theworking capital.

7.3.4 Advances to Employees

Advances to employees are calculated on the basis of 30 days of both payroll and staffb fi


16/18


PREF-45/June, 2006/ Rev 2 16

88 FF II NNAANNCC II AALL SSTT AA TT EE MM EE NNTT SS8.1 INCOME STATEMENT

Year 1 Year 2 Year 3 Year 4 Year 5 Year 6 Year 7 Year 8 Year 9 Year 10

Daily Production 669 Pairs 975 Pairs 1125 Pairs 1125 Pairs 1200 Pairs 1200 Pairs 1275 Pairs 1275 Pairs 1350 Pairs 1350 Pairs

Gross Sales 78,243,750 119,77 8,750 14 5,116,563 15 2,37 2,3 91 170,6 57,07 8 1 79,189 ,931 1 99,9 08,767 209 ,9 04 ,206 2 33,36 4,08 7 245,0 32,292Add Rebate (@ 7.34% of FOB value) 1,799,606 2,754,911 3,337,681 3,504,565 3,925,113 4,121,368 4,597,902 4,827,797 5,367,374 5,635,743 Less Export Dev. Surcharge (0.25%) (195,609) (299,447) (362,791) (380,931) (426,643) (447,975) (499,772) (524,761) (583,410) (612,581)

Net Sales 79,847,747 1 22,23 4,214 14 8,0 91,452 15 5,49 6,0 25 174,1 55,54 8 1 82,863 ,325 2 04,0 06,897 214 ,2 07 ,242 2 38,14 8,05 1 250,0 55,454

Cost of Sales 65,965,500 1 00,98 2,700 12 2,3 44,425 12 8,46 1,6 46 143,8 77,04 4 1 51,070 ,896 1 68,5 38,468 176 ,9 65 ,392 1 96,74 3,87 7 206,5 81,071Gross Profit 13,882,247 21,251,514 25,747,027 27,034,378 30,278,504 31,792,429 35,468,429 37,241,850 41,404,174 43,474,383

Operating Expenses:Operating Expenses 6,837,940 9,739,868 11,439,433 12,682,528 14,613,275 15,539,633 18,488,497 20,629,946 23,356,096 26,065,777 Depreciation 518,837 464,972 417,083 374,445 336,431 302,498 272,173 245,046 220,755 198,986 Amor tiza tion of Prel iminary Exp . 91,000 91,000 91,000 91,000 91,000 - - - - -

7,447,778 10,295,840 11,947,516 13,147,973 15,040,705 15,842,130 18,760,670 20,874,992 23,576,852 26,264,764 Operating Profit 6,434,469 10,955,674 13,799,511 13,886,406 15,237,798 15,950,299 16,707,758 16,366,858 17,827,323 17,209,620

Interest on Loan 457,107 777,081 594,239 411,396 228,553 45,711 - - - - Interest on Lease - - - - - - - - - -

457,107 777,081 594,239 411,396 228,553 45,711 - - - - Profit before Tax 5,977,363 10,178,593 13,205,273 13,475,010 15,009,245 15,904,588 16,707,758 16,366,858 17,827,323 17,209,620 Taxation 20% ## 1,195,473 2,035,719 2,641,055 2,695,002 3,001,849 3,180,918 3,341,552 3,273,372 3,565,465 3,441,924 Profit after Tax 8,142,874 10,564,218 10,780,008 12,007,396 12,723,670 13,366,207 13,093,486 14,261,858 13,767,696

Balance B/F - 4,781,890 12,924,764 23,488,983 34,268,990 46,276,386 59,000,057 72,366,264 85,459,750 99,721,608 Retained Earnings 4,781,890 12,924,764 23,488,983 34,268,990 46,276,386 59,000,057 72,366,264 85,459,750 99,721,608 113,489,304Dividend

Cash - - - - - - - - - - Bonus - - - - - - - - - -

- - - - - - - - - - Balance C/F 4,781,890 12,924,764 23,488,983 34,268,990 46,276,386 59,000,057 72,366,264 85,459,750 99,721,608 113,489,304


17/18


PREF-45/June, 2006/ Rev 2 17

8.2 BALANCE SHEET

YEAR Start up 1 2 3 4 5 6 7 8 9 10

FIXED ASSETS 5,282,572 4,763,735 4,298,763 3,881,680 3,507,235 3,170,805 2,868,307 2,596,134 2,351,087 2,130,332 1,931,346

5,282,572 4,763,735 4,298,763 3,881,680 3,507,235 3,170,805 2,868,307 2,596,134 2,351,087 2,130,332 1,931,346

Preliminary Expenses 455,000 364,000 273,000 182,000 91,000 - - - - - - 5,737,572 5,127,735 4,571,763 4,063,680 3,598,235 3,170,805 2,868,307 2,596,134 2,351,087 2,130,332 1,931,346

CURRENT ASSETSAccounts Receivables - 10 ,059,911 15,400,125 18,657,844 19,590,736 21,941,624 23,038,705 25,702,556 26,987,684 30,003,954 31,504,152 Stocks - 4,677,429 7,160,400 8,675,100 9,108,855 10,201,918 10,712,013 11,950,590 12,548,120 13,950,556 14,648,084 Accessories - 125,104 191,514 232,027 243,628 272,864 286,507 319,634 335,616 373,126 391,782 Advances to Employees - 181,029 221,949 274,947 325,030 401,707 460,100 559,560 655,938 765,996 891,506 Tools & Spares - 220,359 198,323 178,490 160,641 144,577 130,120 117,108 105,397 94,857 85,371 Cash & Bank Balances 5,394,400 619,884 3,298,527 10,242,539 19,488,644 28,597,794 40,019,225 51,132,823 63,210,356 74,832,533 87,309,996

5,394,400 15,883,714 26,470,838 38,260,947 48,917,535 61,560,484 74,646,670 89,782,271 103,843,110 120,021,023 134,830,893TOTAL ASSETS 11,131,972 21,011,449 31,042,601 42,324,627 52,515,770 64,731,289 77,514,977 92,378,404 106,194,198 122,151,355 136,762,239

- - - - - - - - - - - CAPITAL EMPLOYED REPRESENTED BY:

SHARE CAPITAL556,599 Shares @ Rs.10/ - each 5,565,986 5,565,986 5,565,986 5,565,986 5,565,986 5,565,986 5,565,986 5,565,986 5,565,986 5,565,986 5,565,986

UNAPP. PROFIT/(LOSS) - 4,781,890 12,924,764 23,488,983 34,268,990 46,276,386 59,000,057 72,366,264 85,459,750 99,721,608 113,489,3045,565,986 10,347,876 18,490,750 29,054,969 39,834,976 51,842,372 64,566,043 77,932,250 91,025,736 105,287,594 119,055,290

LONG TERM LIABILITIESFinance Lease - - - - - - - - - - - Long Term Loan 5,565,986 5,009,387 3,896,190 2,782,993 1,669,796 556,599 - - - - -

5,565,986 5,009,387 3,896,190 2,782,993 1,669,796 556,599 - - - - - CURRENT LIABILITIES

Creditors - 5,654,186 8,655,660 10,486,665 11,010,998 12,332,318 12,948,934 14,446,154 15,168,462 16,863,761 17,706,949 Short Term Loans - - - - - - - - - - - Sales Tax Payable - - - - - - - - - - -

- 5,654,186 8,655,660 10,486,665 11,010,998 12,332,318 12,948,934 14,446,154 15,168,462 16,863,761 17,706,949 TOTAL 11,131,972 21,011,449 31,042,601 42,324,627 52,515,770 64,731,289 77,514,977 92,378,404 106,194,198 122,151,355 136,762,239


18/18


PREF-45/June, 2006/ Rev 2 18

8.3 CASH FLOWSYEAR 1 2 3 4 5 6 7 8 9 10

SOURCES

FROM OPERATIONProfit Before Tax 5,977,363 10,178,593 13,205,273 13,475,010 15,009,245 15,904,588 16,707,758 16,366,858 17,827,323 17,209,62Add: Depreciation 518,837 464,972 417,083 374,445 336,431 302,498 272,173 245,046 220,755 198,986 Amortization 91,000 91,000 91,000 91,000 91,000 - - - - -

609,837 555,972 508,083 465,445 427,431 302,498 272,173 245,046 220,755 198,9866,587,200 10,734,565 13,713,355 13,940,454 15,436,676 16,207,086 16,979,932 16,611,904 18,048,078 17,408,606

OTHER SOURCES

Sponsor's Loan - - - - - - - - - -

Running Finance - - - - - - - - - - - - - - - - - - - -

6,587,200 10,734,565 13,713,355 13,940,454 15,436,676 16,207,086 16,979,932 16,611,904 18,048,078 17,408,606

APPLICATION

Capital Expenditure - - - - - - - - - - Repayments of Loan 556,599 1,113,197 1,113,197 1,113,197 1,113,197 556,599 - - - - Payment of Accrued Interest - - - - - - - - - - Tax Payment 1,195,473 2,035,719 2,641,055 2,695,002 3,001,849 3,180,918 3,341,552 3,273,372 3,565,465 3,441,924 Dividend Paid

- Cash - - - - - - - - - -

1,752,071 3,148,916 3,754,252 3,808,199 4,115,046 3,737,516 3,341,552 3,273,372 3,565,465 3,441,924SURPLUS / (DEFICIT) 4,835,129 7,585,649 9,959,104 10,132,255 11,321,630 12,469,570 13,638,380 13,338,532 14,482,614 13,966,6

INCREASE/(DECREASE) IN WORKING CAPITAL 9,609,645 4,907,006 3,015,092 886,150 2,212,479 1,048,139 2,524,782 1,260,999 2,860,437 1,48 NET INCREASE/(DECREASE) (4,774,516) 2,678,643 6,944,012 9,246,105 9,109,150 11,421,430 11,113,598 12,077,534 11,622,177 12,477,OPENING BANK BALANCES 5,394,400 619,884 3,298,527 10,242,539 19,488,644 28,597,794 40,019,225 51,132,823 63,210,356 74,832,533CLOSING CASH BALANCE 619,884 3,298,527 10,242,539 19,488,644 28,597,794 40,019,225 51,132,823 63,210,356 74,832,533 87,309,

Leather Gloves Manufacturing Unit Feasibility

Documents

Transcript of Leather Gloves Manufacturing Unit Feasibility