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Background of the Project:

Quality furniture is a necessity that also adds value to the surroundings due to its decorative
aspect. This industry is a multidimensional,
comprising a multitude of trades and sub-
industries. The wood-work industry exists on
various scales i.e, large, medium or small all
across the country.

The wood used in furniture making generally


comprises of Sheesham, Chirh, Pine, Oak,
Burma Teak, Plywood, Kekar and Bamboos.
Recently, chipboard is also extensively used for this purpose. Another popular medium
nowadays is cane.

The proposed project is for setting up a Wooden Furniture Manufacturing Unit in Gwalior
(Gole ka Mandir). This project will be capable of integrated manufacturing of wooden furniture
starting from cutting of wood to retailing of product to the customer. Auxiliary processes like
carving will be met through sub-contracting. Furniture of all kinds either with or without carving
and including but not limited to tables, chairs, dressing tables, beds, rock chairs, dining tables are
to be manufactured in the Unit.
Introduction:

The demand for the furniture made up of woods is growing due to the increased standard of
living of people and outlook. On occasions
like wedding, it has become customary to gift
wooden furniture like double bed, sofa,
dressing table, dining table to the daughter.

Items like Almirah Wardrobe, table chairs


stools and cots made out of wooden material
falls under the category of wooden furniture. These are widely used in houses / Office and
commercial establishments. These are made in various designs and sizes according to the
requirement.

My project is meant to setup a manufacturing unit of wooden furniture such as Chair, Coat,
windows and door etc .The unit will undertake the job work also. The unit envisages
manufacturing of wooden furniture on different designs out of quality wood like Teak, Anjili,
Rose wood etc. But mainly on teak wood.

As the furniture would not have any fixed brand or company name, therefore, there would be less
competition. The demand of wooden furniture and wooden building materials is increasing as
construction and housing industry expand. Attractive and genuine wooden furniture have good
access in market. The demand for the furniture made up of woods is growing due to the
increased standard of living of people and outlook.
Project at a glance:

Name of the unit Quality Wooden Zone

Size of the unit Small Scale Company

Product services Wooden Furniture Design

Form of organization Small scale

Means of finance Owned capital

Land area 800 m sq.

Employee (a) A Helpers

(b) A Workers

Biodata of promoters:

Name Pradeep kannojiya


Date of birth August 8th 1996

Qualification Pursuing MAM

Residential Address Mahaveer pura tiwari farm road Dabra,


Gwalior (M.P.)
Mobile no. 8839917455

Email id Kannojiyasid@gmail.com
SWOT Analysis:

Strengths:

Skilled Labor Force.


Wood seasoning facility Centre is available.
Suppliers of raw material are available.
Local tools available.
Ability to sell products online.

Weaknesses:

High cost of production due to high rate of raw material.


Lack of educated, certified and professionally trained, work force.
Unavailability of ready to use raw material.
Competitors can offer similar products quickly.
Fluctuating prices of the raw material.

Opportunities:

Technical up gradation.
Make Houses Decorated.
Ability to develop additional store.
Existing of this project in market have a lot of scope and potential over there.

Threats:

Raw material cost increase (shortage in the stock of Sheesham wood at any stage because
no further plantation as required).
Economic pressures.
Less funds available.
Increasing Competition.
Products are already sold by major competitors.
Product Manufacturing Process:

Wood is cut into different sizes of blocks and slabs. If the wood purchased is not seasoned than
these blocks/slices are seasoned through different processes, namely:

Condensation
Boiler System
Vacuum System
Seasoning through putting the wood slices under normal environmental temperature for
considerable duration.

Before start of manufacturing of any furniture product a desired design is selected. Selection
of elegant design is important to ensure attractive finished product.

The seasoned wood blocks are cut into desired shape and slices according to the Requirement of
design. The slices of wood are molded into the desired shape according to the design. Carving
means different elegant pattern carved in the wood. Quality of carving depends on the skills of
the labor. Once the different pieces are carved & molded than these parts/pieces are assembled or
fixed together to give the shape to the final product.

Assembled product is grind to make the surface smooth. Once the surface is smooth, finishing
material is applied to make the surface ready for paint or polish. After the base is prepared final
finishing is applied depending on requirement in term of paint/polish. Upholstery of fabric is
carried out according requirement of demand

Marketing Analysis:

As the furniture would not have any fixed brand or company name, therefore, there would be less
competition. The demand of wooden furniture and wooden building materials is increasing as
construction and housing industry expand. Attractive and genuine wooden furniture have good access in
market. The demand for the furniture made up of woods is growing due to the increased standard of living
of people and outlook. On occasions like wedding, it has become customary to gift wooden furniture like
double bed, sofa, dressing table, dining table to the daughter. The finished products can also be sold
through furniture marts

Product: Product Marketings most important challenge is the problem of assembly and
packaging. I know I have the best product when I deliver it locally. That isnt necessarily so I
will send it in boxes to be assembled. I have to make sure that the assembly is truly easy.

Our product marketing has to emphasize the benefits of our unique combination of technological
expertise, ergonomics, and fine furniture craftsmanship, and prestige. That has to come out in our
packaging, shipping, and collaterals.

My project product strategy is to give the best product to the customers. I also give my product
in many designs because I manufacture my wooden furniture so that I will make my furniture in
many designs.

Price: I will sale my product in all prices. I will sale my product for medium class and high
class family. The main aim of my project is to provide a best product in lowest price and without
any complaint by the customer. In first stage I will sale my wooden furniture in minimum prices
and in many designs.

Place: I will open my shop nearby the Gole Ke Mandir. I will locate my shop in this area
because there is a less competition so thats why I can easily serve with the customers. And now
a days we can see that there is a huge scope in the market of wooden furniture.

Promotion: Our promotion strategy is based mainly on making the right information available
to the right customer. We cant afford to sell people on our expensive products, because most
dont have the budget. What we really do is make sure that those who have the budget and
appreciate the product know that it exist, and know where to find it.

The marketing has to convey the sense of quality in every picture, every promotion and every
publication. We cant afford to appear in second-rate catalogs with poor illustrations that make
the product look less than it is. And I will make some online sites for sale our wooden furniture
and I will also promote our own websites for consumers who want to buy our products.
Financial Analysis:
1. Fixed capital :-

Land and building:-

S.no. Particular Total Rate rs/sq Total value


sq.(mtr)
1 Total land 800 sq.mtr. 600 Rs 4,80,000
2 Construction 400 sq.mtr. 600 Rs 2,40,000
3 Construction material _ _ 20,000

Total 7,40,000

Machinery and Equipment:-

S.no. Particular Qty Price Total

1 Cutter slide 2 15,000 30,000

2 Cutter round 1 10,000 10,000

3 Saw 18 1 30,000 30,000

4 Saw 27 1 25,000 25,000

5 Saw 30 1 30,000 30,000

6 Gauge 14 1 20,000 20,000

7 Gauge 18 1 30,000 30,000

8 Planer/Shaper 12 1 50,000 50,000

9 Chapaka 2 15,000 30,000

10 Hand Chapaka (jug saw) 2 15,000 30,000


11 Grinder 1 6,500 6,500

12 Drill Machine 4 3,000 12,000

13 Compressor 1 15,000 15,000

14 Miscellaneous tools (hand 1 15,000 15,000


Tools, Paint Gun etc.)

15 Installation cost for 1 25,000 25,000


Machinery
Total 26 3,04,500 3,58,500

Total fixed assets:-


No. Particular Amount

1 Land and building 7,40,000

2 Machinery and equipment 3,58,500

3 Other fixed assets 1,70,000

Total 12,68,500
1. Working capital :-
Raw Material:-
No. particular Amount

1 Sheesham, Teak, Wood, etc. 25,000

2 Ply 6,000

3 Plane Glass of Thickness 5,000

4 Mirror 5,000

5 Cushions 5,000

6 Fevicol 2,000

7 Sunmaica 5,000

8. Other 500

Total 53,500